ADVERTORIAL FEATURE
in the firm ’ s network , except in emergencies . So Elevance ’ s size gives it a natural advantage over rivals whose networks of caregivers are smaller . And this is reflected in its high customer satisfaction ratings . “ Some investors are nervous about the underwriting aspect of this ,” MacColl adds , referring to the firm ’ s ability to maintain a healthy margin between what it charges and pays out . “ But Elevance reprices very regularly . So even if it were to make a mistake , it ’ s very easy to correct . And it ’ s got a fabulous underwriting record .”
Room for improvement Turning to the administrativeservices-only side of the business , MacColl acknowledges that Elevance has historically made less per member than it might have done . But he expects that to change . “ Elevance has arguably got the strongest management it has ever had . And they are driving efficiencies harder and scaling through crossselling ,” he says . Cross-selling involves convincing employers to sign up to additional
services . These can include dental , vision and mental health care , as well as digital tools to let medics remotely monitor patients ’ progress . “ The story of the next 15 years will be the further development of Elevance ’ s services business ,” MacColl says . “ And the opportunity is vast because the scale of the US health system is gigantic .” That ’ s not to say there aren ’ t risks . “ You ’ ve got the potential for regulatory interference and for caps to be put on profitability ,” MacColl acknowledges . “ But what I think people get wrong is that it ’ s nigh on impossible to run the US healthcare system without these types of business .”
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