Navigating the Health Tech Landscape: Three Key Insights for Success

Building Technology in Healthcare

In my last article, I took a glimpse into the pain points of the "Big Six Payers" in healthcare—Humana, Elevance, Centene, Cigna, UnitedHealth Group, and CVS. Controlling 90 cents of every healthcare dollar, these giants play a pivotal role in the industry. Since COVID-19 hit the U.S. in 2020, we've witnessed a surge in investment in health technology, much of it aimed at patients and providers. However, many startups focusing on these areas have struggled to find profitability, often running out of pivots or funding to try to capture a portion of the 5 trillion dollars the US spends on healthcare each year.

To drive meaningful change with the explosion in health tech, it's crucial to integrate innovations into this complex system effectively. Based on my experience and advisory board roles in digital health and healthcare technology, here are the three best pieces of advice for making an impact.

1. Address the Technology Talent Gap

Many of the largest health insurers are headquartered in cities that struggle to attract top tech talent. Consider their locations: Humana in Louisville, Elevance in Indianapolis, Centene in St. Louis, Cigna in Bloomfield (CT), UnitedHealth Group in Minneapolis, and CVS in Rhode Island. These aren't the tech hubs like California, Washington, or Texas that draw innovative tech workers eager to build cutting-edge solutions.