UnitedHealth Group Inc.’s UNH business, UnitedHealthcare, recently expanded its relationship with Saint Luke’s Health System and Children’s Mercy Kansas City. Notably, the relation between UnitedHealthcare and Saint Luke’s can be traced back to 2017 when an accountable care organization (ACO) was formed through which UnitedHealthcare continues to facilitate improved level of data and assistance to Saint Luke’s physicians.
The latest collaboration has resulted in the development of a health plan — the Core Essential plan. The plan, likely to be effective from Jan 1 of next year, intends to benefit fully insured and self-funded employers in Johnson and Wyandotte counties situated in Kansas, and, Clay, Jackson and Platte counties situated in Missouri.
It’s worth mentioning that employers can avail the latest health plan, even if they have offices or facilities in other counties across Kansas and Missouri apart from the five specified ones as long as majority of their employees reside in these five counties.
The new health plan not only enables employers in the Kansas City area to meet diverse health care needs of their employees and bring about improved health outcomes but also intends to provide the patient-focused services at lower costs.
Case in point, employers enrolled in the latest cost-effective health plan can avail savings of up to 15% on monthly premiums, which is in fact, lower than other UnitedHealthcare health plans.
Apart from having access to UnitedHealthcare’s resources, eligible participants can even reach out to the affiliated physicians coming under the Saint Luke’s vast network through telehealth services, which comprises hospitals and campuses, convenient care clinics, primary care and specialty offices, home care and hospice, behavioral health care, and a senior living community. The same participants will also get access to the network of the leading pediatric health system across the United States — Children’s Mercy, which also boasts of an efficient telemedicine program.
Shares of this Zacks Rank #2 (Buy) health care provider have gained 39.9% in a year outperforming the industry’s growth of 26.4%. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Furthermore, UnitedHealthcare has been introducing newer cost-effective health plans, which seems to be in high demand among employers these days. This month itself, UnitedHealthcare expanded its relationship with Canopy Health, which has resulted in the development of a health plan — the California Doctors Plan. The plan intends to provide improved health outcomes for individuals coming under employer-sponsored health coverage across nine Bay Area counties.
UnitedHealthcare boasts of a strong vision network, and also launched teledentistry services aimed at oral health improvements of members.
Robust performance at the UnitedHealthcare and Optum segments have driven revenues for UnitedHealth Group, which has witnessed a 10-year CAGR of 9.9%. Notably, the momentum continued in the first half of 2020 as well. The healthcare provider has been making every effort to enhance its existing suite of telehealth services. The pandemic has further highlighted the importance of telehealth services, and UnitedHealth Group is well poised to capitalize on the current scenario.
Among other stocks in the medical space, Teladoc Health Inc. TDOC is a niche player in the telehealth service industry with wide offerings and international reach. Other companies, namely Magellan Health, Inc. MGLN and Humana Inc. HUM have also developed telehealth services.
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