Dive Brief:
- Hy-Vee has linked with healthcare technology company Oscar Health to launch a healthcare benefit that lets members pay a fixed fee to receive concierge health services, according to a Thursday announcement.
- The plan will be available to employers and individuals in the greater Des Moines, Iowa, metropolitan area starting Nov. 1, for coverage effective Jan. 1, 2026.
- Hy-Vee and Oscar said they plan to bring the healthcare benefit to other markets in the future.
Dive Insight:
While concierge healthcare has come under fire as potentially worsening healthcare disparities and creating a system only accessible to people who can afford it, Hy-Vee and Oscar say their partnership will make “a full suite” of healthcare options affordable to consumers and help employers save money.
Employer-backed coverage in the individual market can save businesses 20% to 30% and employees $500 to $1,000 per year, according to the announcement.
Employees who enroll in the Hy-Vee Health with Oscar plan can get free care at Hy-Vee Health Exemplar Care clinics, including unlimited access to primary care, 24/7 urgent care, labs,
X-rays and select medications — services that normally cost $2,400 annually for a family of four, the announcement said.
The plan also includes one-on-one support, affordable prescriptions at Hy-Vee pharmacies and access to “top-rated” specialists at MercyOne, a non-profit system of Catholic hospitals, clinics and healthcare facilities in Iowa and Nebraska. Members can also get rewards for buying groceries at Hy-Vee stores.
“Finding the right healthcare coverage should be as easy as buying milk at Hy-Vee,” Oscar Health CEO Mark Bertolini said in a statement. “We are shaping the future of healthcare for consumers and employers. Everyone deserves healthcare that is affordable, convenient, and simple.”
Oscar Health has approximately 2 million members.
Hy-Vee, which runs more than 270 retail pharmacies and nearly 300 grocery stores, has steadily made moves in the healthcare space. Last year, the grocer expanded its clinic services by becoming a joint owner of private healthcare organization Exemplar Care. In 2023, Hy-Vee rolled out a health and wellness subscription program called Healthy You and opened its first infusion clinic.
Hy-Vee’s moves come as other grocers also expand into the healthcare space and more closely link food shopping with health and wellness. Last week, Giant Eagle announced it has joined the Mark Cuban Cost Plus Drugs retailer network, allowing participants in the program to pick up qualifying prescriptions at Giant Eagle Pharmacy locations. Earlier this year, Kroger resumed working with pharmacy benefits manager Express Scripts to provide shoppers with prescription medications and health services.
