Devoted Health is signaling it's about to launch a commercial insurance offering for large group ASO customers.
Why it Matters
Devoted looks set to pitch employers the same case it made to CMS this year: a better plan with better quality and experience, at lower cost, based on the premise that its AI-centric platform cuts both admin and medical spend.
The big question: If it costs $100 to have a traditional vertically integrated plan manage the health care dollar, can Devoted do so for only $90 while providing better quality and a better experience while still maintaining a healthy margin?
If the answer is yes, Devoted wins.
Devoted’s continued expansion, both in MA and now in the commercial market, will put this idea to the test in a way only a well-financed moonshot could. In my view, it’s the most interesting healthcare services experiment in the private markets today.
Updates Driving the News:
Two key updates from the last few weeks make Devoted’s intent to enter the commercial market clear:
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