Anthem and Walmart are collaborating to increase access to over-the-counter medications to seniors in the insurer’s Medicare Advantage plans.
Anthem, which operates Blue Cross and Blue Shield plans in 14 states, said the program will allow seniors in Anthem’s Medicare Advantage plans to use “OTC plan allowances to purchase OTC medications and health-related items, such as first aid supplies, support braces, and pain relievers.” The purchases can be made at Walmart’s 4,700 stores and via the retailer’s web site when the program begins in January 2019.
“Creating a better healthcare future requires us to think differently about how we can develop innovative and meaningful healthcare solutions for consumers,” Anthem’s government business president Felicia Norwood said.
The deal is significant for Anthem, which is trying to grow its Medicare Advantage business, offering more services in a competitive battle with rivals UnitedHealth Group, Aetna, Humana, Cigna and other insurers. MA plans contract with insurers to provide the same benefits as traditional fee-for-service Medicare plus some extras. Anthem has more than 1.7 million seniors enrolled in its Medicare plans . That enrollment grew 17% in the second quarter compared to the year-ago quarter, the company said last month.
For Walmart, the deal expands the retailer’s relationship with health insurers in an effort to bring more customers inside its stores. It also comes as rival online retail giant Amazon is slowly entering the prescription business, recently buying online pharmacy PillPack.
Walmart already has a long-standing partnership with Humana to sell Medicare Part D prescription drug plans. The Humana-Walmart partnership dates back 13 years when the insurer began putting Humana sales agents in its stores to sell Medicare Part D drug plans.
Humana and Walmart are also discussing ways to expand their relationship, potentially to offer more healthcare services for enrollees in Humana health plans. There’s also been some speculation Walmart may buy Humana as a way to guide more health plan enrollees to its stores, website and related products.
The Anthem deal indicates Walmart may be looking at multiple partnerships with insurers. It has no impact on the Humana relationship with Walmart, the companies confirmed.
“Walmart is committed to making healthcare more affordable and accessible, and we are in constant pursuit of new ways to deliver on this commitment,” Walmart’s senior vice president of health and wellness, Sean Slovenski said.
Date: August 21, 2018
Source: Forbes