There are a lot of vendors serving self-funded employers. Some are very large health plan companies and some are large traditional insurers. But many are small companies seeking success in some niche helping to administer self-funded plans and help them control costs. Because it is a tough business, there are a number of start-ups and a lot of acquisitions and mergers as companies try to find some strategy for survival. This week Zelis acquired Payer Compass. Both firms focus on “reference-based” pricing solutions and add other services related to reimbursement of providers by self-funded health plans. (Zelis Release)
Then Marpai acquired Maestro Health. Marpai is a large third-party administrator and is publicly held. Being public is a curse in such a tough industry, just ask BenefitFocus. Maestro is a largely regional TPA. I am sure the combination will be wildly more successful in a commodity business. (Marpai Release)
