Oliver Wyman July 10, 2024
Howard Lapsley

The employer-sponsored market needs a boost. Health plans should double down on these 10 go-to-market imperatives to improve performance and take share.

The employer-sponsored insurance marketplace is stagnant, with flat enrollment and declining margins. Insurers are being stymied by the Sisyphus Effect — new sales offset by churn and a less profitable business mix. Not surprisingly, health plans have been focusing more attention on the growing Medicare Advantage and Affordable Care Act segments to boost overall membership and the bottom line.

But as the largest source of non-government-funded coverage, the employer-sponsored market should not be allowed to limp along. Alternate funding sources from level funding, captives, Individual Coverage Health Reimbursement Accounts, and third-party administrators pose real threats, especially in small-...

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