The cost of providing health insurance to employees in the US continues to increase at rates greater than general inflation. As the comprehensive health reform passed recently by Congress adds to the complexity of providing affordable benefits employees have made it clear that attractive health benefits are a key differentiator in their choice of employer. In 2008, our Portfolio Operations Group established Equity Healthcare (EH), whose mission to improve the health and quality of healthcare for employees and families resulting in decreased cost trends and increased productivity.
Currently comprising 45 portfolio companies and representing 140,000 employees Equity Healthcare achieves its mission in four ways:
(1) Volume: leveraging our size to negotiate discounts on fees for medical insurance and other ancillary support services like biometrics, price transparency and audits with best-in-breed suppliers;
(2) Customized Care Centers & Unique Population Health Model: partnering with Aetna and United Healthcare to build dedicated custom care centers, staffed with Equity Healthcare-dedicated nurses and interdisciplinary clinicians. The EH-dedicated units have a higher ratio of clinicians-to-employees than typical carrier products, resulting in greater employee engagement in making health decisions. In addition, EH uses its proprietary data base and analytics to develop a unique work plan for each employer based on its specific health challenges.
(3) EH Supplier Oversight: the EH clinical team applies intensive six sigma-oriented oversight of the execution of our unique population health model.
(4) Innovation: Equity Healthcare employers get new products and services from our vendor partners sooner than other mid-market companies.
Employees of portfolio companies participating in Equity Healthcare have access to a comprehensive suite of services otherwise only available to Fortune 10 employers. Equity Healthcare’s year-over-year track record shows strong results with projected 3-year cumulative savings of $165 million and double-digit improvement in the overall health status of participating employees.