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What Can the Private Sector Do in Health Care?





July 18, 2019

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The next health care innovations may not come from the usual suspects like large insurers or health plans, but rather from big retail chains like Walmart or even financial services firms. In a new To the Point post, Commonwealth Fund President David Blumenthal, M.D., and Robert Galvin, M.D., CEO of Equity Healthcare at the Blackstone Group and former chief medical officer at General Electric, examine private-sector efforts to improve quality and reduce costs in health care.


These include initiatives like Haven, which aims to remake how employees of Amazon, Berkshire Hathaway, and J.P. Morgan Chase get their health care, and CVS’s plan to build “health hubs” at its retail outlets to improve care for high-need, high-cost patients. With “lots of running room and the opportunity to make a difference,” these companies and others could envision radically different models of health care that improve lives and drive down costs.


But while these new entrants to the health care field have track records in transforming other spaces, the authors caution against efforts that would add further fragmentation and complexity to our health system, particularly for the country’s sickest.




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