As the consolidation wave in health care continues, questions persist about whether
And the insurer is facing expanded competition in its home state from two of the nation's largest health plans, including
"You have a 500-pound gorilla all of a sudden now wanting to live in your backyard," said
Dr.
Samitt, who became the new
Samitt says the
Samitt most recently worked for
"The two things that I had heard about myself in the first week [at
"No new CEO takes a job to sell themselves to another company," he added.
About 2.9 million people have insurance benefits via
In 2017, state lawmakers got rid of the ban on for-profit HMOs, which UnitedHealthcare cited as a factor -- but not the driving force -- in its decision to try becoming a bigger part of the
For-profit competition is one reason that
"We have a fierce loyalty to Minnesotans and the communities we serve, which may be unlike some of the national insurers who are in part driven by profits," he said.
Of course, Samitt's former employer was one of those national insurers. Was
"I think there's always a mission orientation in for-profit companies, as well," Samitt said. "But I think for-profits are also beholden to other masters."
At UnitedHealthcare, company officials make no apologies for being a for-profit company, saying they are driven by their mission to deliver quality care and good service for enrollees at competitive prices.
"If a for-profit can deliver those three things as well, or maybe even much better, than a not-for-profit, then it should be available for the consumer to choose," said
Samitt went to medical school at
At the time, the Clinton administration had launched its attempt at national health care reform. Samitt said he was struck by the fact that while the public sector was dissecting all the problems in health care, "the industry itself didn't seem to be reflecting on what we needed to do to improve ourselves."
He attended the
"When I was in business school, I heard case studies about the best companies in the world, and not once did I hear a case study about a health care company," he said. "Incumbent health care organizations, not-for-profit or for-profit, tend not to be very innovative and tend not to implement industry best practices to transform themselves."
Samitt said he's worked at a series of health care groups that have tried to transform themselves by embracing the perspective of both health care providers and those who pay the bills, so the organizations focus on both better care and lower cost.
Two of those groups -- the clinic division at for-profit dialysis operator DaVita, and a large group practice in
The Optum acquisitions are part of a trend in health care where insurers and health care providers are getting closer together, on the theory that by sharing financial risk and rewards they'll more efficiently provide quality care. The moves make
In
Again, Samitt doesn't sound worried about
"Speaking as a leader who has led organizations that have been acquired by hospitals or health plans, that vertical integration does not necessarily drive improved outcomes and health," Samitt said.
"My commitment to this community is to forge new and different and lasting partnership relationships with providers that may very well be shoulder-to-shoulder partnerships -- not parent-to-subsidiary partnerships," he said. "Vertical integration doesn't [always] solve all of the problems."
___
(c)2018 the Star Tribune (Minneapolis)
Visit the Star Tribune (Minneapolis) at www.startribune.com
Distributed by Tribune Content Agency, LLC.
California’s deadly wildfires prompt flurry of new laws
Ohio’s staunchest pro-Trump county embraces wave of immigrant families
Advisor News
Annuity News
Health/Employee Benefits
Life Insurance