UnitedHealth Group managed to squeeze $12B in pure profit out of the healthcare system last year solely through value extraction. Like Sears, Circuit City, and other notable companies that found themselves in the trash bin of history, they are relying on their size to keep employers, providers, and members with them. At a time when healthcare costs are skyrocketing, they could be creating value in the healthcare system and — gasp! — earning some profit for themselves. Instead, they push out anyone who wants to innovate or question the dirty tactics and legally dubious actions. Hemsley was supposed to make it better. Instead, he’s made the company culture worse and is putting short term gain above not only UnitedHealth Group’s interests, but the already strained healthcare system.
Know this, there is an avoidable trajectory here; but persist down this road and some startup will eat your lunch just like Amazon — a nobody at the time — did to Sears and Circuit City. Change course before it’s too late. Hire some technology people that actually know technology. Hire ethical business leaders that will follow the law. UnitedHealth Group could be the reason the healthcare system gets better or the reason it crashed. Choose wisely.