As the costs stemming from COVID-19 continue to climb, reinsurers are collaborating with the healthcare industry on how to mitigate the impacts of the virus on the sector. Virtual health care options are becoming increasingly commonplace, and the growing use of telemedicine and capacity constraints within our healthcare system will potentially dull utilization increases.
As the pandemic continues, the greater healthcare industry is wondering to what extent the digital-first health system is likely to become commonplace, according to Oliver Wyman Health & Life Sciences Partners Ran Strul, Josh Michelson and Charlie Hoban. Guy Carpenter is an affiliate of Oliver Wyman. There are two main reasons for this interest.
The first reason is the rapid acceleration COVID-19 provided to virtual care adoption in recent months. The second reason (and less visible than the above but equally important) is payers’ increased demand for full-service, integrated digital care solutions. Even pre-COVID-19, certain payers announced digital-first or digital-only products offering low-cost and nimble coverage options. Post-COVID-19, more payers are looking into this space to address an expected surge in demand for low-cost health coverage options by employers tightening their belts or new unemployed consumers. So far though, there is a dearth of comprehensive digital care solutions that payers can use to create a robust delivery network.
Guy Carpenter has been developing a view of how COVID-19 may impact the medical (re)insurance market.
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July 06, 2020 at 11:54AM
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Is It Time For a Digital-Only Health System? - GC Capital Ideas
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