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- Daily Industry Report - February 19
Daily Industry Report - February 19

Your summary of the Voluntary and Healthcare Industry’s most relevant and breaking news; brought to you by the Health & Voluntary Benefits Association®
Jake Velie, CPT | Robert S. Shestack, CCSS, CVBS, CFF |
HVBA Announces 2026 Innovation Summit in San Antonio: A Curated Leadership Experience for the Benefits Industry
By HVBA – HVBA today announced the upcoming HVBA Innovation Summit, taking place Thursday, May 21, at the renowned Hilton Palacio del Rio in San Antonio. Designed as a highly curated gathering of industry leaders, the Summit is redefining how the benefits community connects, collaborates, and drives innovation. Unlike traditional conferences filled with massive expo halls and transactional booth visits, the HVBA Innovation Summit is intentionally structured to foster meaningful dialogue, strategic partnerships, and actionable outcomes. Read Full Article...
HVBA Article Summary
Focused, high-value engagement over conventional event formats: The HVBA Innovation Summit is structured to prioritize intentional, productive interaction rather than traditional conference distractions. Attendees can expect curated meeting environments, substantive “real talk” panels centered on industry realities, and data-driven insights aimed at delivering measurable competitive advantage. The emphasis is on depth of discussion and meaningful engagement that advances real business outcomes.
Targeted audience of industry decision-makers and innovators: The Summit convenes strategists, innovators, connectors, and visionaries who are actively shaping the future of the benefits industry. By bringing together leaders focused on solving employer challenges, driving strategic growth, and fostering collaboration, the event is designed to facilitate high-quality conversations that move partnerships forward and support tangible progress within the marketplace.
Strategic growth initiative supported by structured sponsorship opportunities: Taking place on May 21, 2026, at the Hilton Palacio del Rio in San Antonio, the event represents the launch of a broader expansion of HVBA Innovation programming into additional markets. The Summit also offers multiple sponsorship tiers—from $1,200 to $12,500—providing organizations with structured opportunities for brand visibility, thought leadership, and direct engagement with industry leaders.
HVBA Poll Question - Please share your insightsWhat is your biggest challenge when it comes to employee benefits today? |
Our last poll results are in!
28.41%
Of the Daily Industry Report readers who participated in our last polling question, when asked with one-on-one face-to-face or call center active enrollment through the advice of a benefit counselor, do you see an increase in participation or level of satisfaction by employees with their core benefit programs, reported “Yes, we see an increase in BOTH participation and employee satisfaction.”
24.45% of respondents “see an increase in satisfaction but NO increase in participation.” 24.37% of survey participants shared they “do not see any increase in participation or satisfaction,” while the remaining 22.77% “see an increase in participation but NO increase in satisfaction.” This polling question was powered by Fidelity Enrollment Services.
Have a poll question you’d like to suggest? Let us know!
Trump administration restarts its efforts to pilot 340B rebates
By Dave Muoio – Only a week after calling it quits on a court-halted pilot program, the Trump administration is already revving the engine on how it could test out a rebate model for the 340B Drug Discount program. The Health Resources and Services Administration (HRSA) released a request for information (RFI) asking stakeholders and the public for input on whether and how such a model should be implemented for 340B, which, for over 30 years, has required drug manufacturers to provide upfront discounts on their products to help subsidize safety-net care. Read Full Article...
HVBA Article Summary
Renewed Effort After Legal Setback: The Trump administration is pursuing a second attempt at piloting a rebate model for the 340B Drug Discount Program after the initial effort was halted by a court decision. The Health Resources and Services Administration (HRSA) is now seeking public input to address concerns raised during the previous rollout, including the need for a more transparent and inclusive rulemaking process. This move reflects the administration's ongoing interest in reforming how discounts are provided to safety-net hospitals.
Stakeholder Concerns and Administrative Burdens: Hospitals and industry groups have expressed significant concerns about shifting from upfront discounts to a rebate system. They argue that requiring hospitals to pay full price and wait for reimbursement could disrupt cash flow, increase administrative complexity, and create uncertainty for safety-net providers. The HRSA's request for information specifically asks for feedback on these operational impacts, including staffing and IT system changes that may be necessary under a rebate model.
Broader Scrutiny and Calls for Transparency: The 340B program has faced increased scrutiny from lawmakers and drug manufacturers, with some alleging misuse and a lack of transparency in how savings are used. Senator Bill Cassidy has requested detailed information from Apexus, the program's prime vendor, to better understand its business practices and the flow of funds. These actions indicate a broader push for oversight and potential reforms aimed at ensuring the program benefits patients and maintains integrity.
Dental insurers brace for rise of cash-for-coverage employer health plans
By Allison Bell – Dental insurance strategists are trying to figure out how to create products that can serve people who work in a post-group health world. Product designers are thinking about how an increase in the number of people who use individual coverage health reimbursement arrangement plans and other types of "cash for coverage" health plans might affect the features that buyers seek and the level of coverage that the buyers can afford. Read Full Article... (Subscription required)
HVBA Article Summary
Shift Toward Flexible Dental Benefits: The rise of individual coverage health reimbursement arrangements (ICHRAs) and other cash-for-coverage plans is prompting dental insurers to rethink their product offerings. As more employers move away from traditional group health plans, employees are seeking dental benefits that resemble the comprehensive coverage they are accustomed to. This shift is driving insurers to design plans that appeal to workers who value familiarity and flexibility in their benefits.
Market Competition and Pricing Adjustments: The dental insurance market remains competitive, with major companies reporting strong sales and retention despite recent price increases. These price adjustments were necessary to address the effects of previous aggressive price-cutting and to ensure that claims ratios align with revenue expectations. The continued vibrancy of the market suggests that both traditional and voluntary dental insurance products are in demand, even as the landscape evolves.
Complexity in Health Account Rules: Navigating the rules for using various health accounts to pay for dental care or insurance is increasingly complex, especially for nontraditional workers. The ability to use funds from accounts like HSAs, FSAs, ICHRAs, or QSEHRAs for dental expenses or premiums depends on specific account types and employer plan structures. This complexity presents challenges for employers, benefits advisors, and workers as they seek to maximize the value of their health and dental benefits.
NIH director will also run CDC
By Caitlin Owens and Peter Sullivan – National Institutes of Health director Jay Bhattacharya will also become acting director of the Centers for Disease Control and Prevention as the Trump administration continues a shakeup of its senior health leadership, two sources told Axios. Why it matters: The CDC has lacked a permanent political leader since August, when Health Secretary Robert F. Kennedy Jr. fired career scientist Susan Monarez. Read Full Article...
HVBA Article Summary
Leadership transition at CDC: Deputy Health Secretary Jim O’Neill, who had been serving as acting CDC director, is leaving his post after overseeing the agency during a period of significant internal change. His tenure coincided with heavy staff turnover, workforce reductions, and DOGE-directed layoffs that reshaped parts of the agency. Bhattacharya has been appointed to take over leadership of the CDC, but the position requires Senate confirmation before becoming permanent.
Bhattacharya’s recent record and governing approach: A former Stanford professor, Bhattacharya previously led the NIH during a time marked by substantial budget cuts and grant freezes. He has characterized his efforts as a push against what he describes as “politicized science,” positioning himself as a reform-minded leader within the administration’s health agenda. At the same time, he told Congress he did not accept the role with the intention of broadly terminating grants, signaling a more measured approach amid controversy.
Public profile and political considerations: Bhattacharya rose to national prominence during the COVID-19 pandemic as a vocal critic of widespread lockdowns. He co-authored the Great Barrington Declaration, which advocated for focused protection of vulnerable populations while allowing lower-risk groups to build immunity more quickly. His nomination to serve as permanent CDC director is likely to face scrutiny in the Senate, where confirmation could prove politically challenging, particularly in the lead-up to midterm elections.
What are AI scribes?
By Cassie McGrath – AI scribes are quickly becoming a staple for providers, as consultancy McKinsey estimated 10+% of US physicians are already using the tools. Tech companies like Abridge, Ambience, Suki, Nabla, and Microsoft have stepped forward as leaders in the AI scribe space, providing technology that can listen to patient–provider conversations and help formulate clinical documentation. Electronic health records ( EHR) companies Epic, Athenahealth, and Oracle have also already integrated this technology into their platforms. Read Full Article...
HVBA Article Summary
Rapid Adoption and Market Growth: AI scribe technology is being increasingly adopted across health systems, with organizations such as Mayo Clinic and other major providers implementing these tools in clinical settings. The global market for AI scribes, valued at $397.1 million in 2024, is projected to approach $3 billion by 2033, reflecting strong anticipated growth. This expansion signals rising demand for technologies that streamline documentation and support more efficient healthcare workflows.
Impact on Clinician Workload and Patient Care: By automating the transcription and drafting of clinical notes from patient encounters, AI scribes reduce the time clinicians spend on documentation. A 10-week pilot involving 3,442 physicians and 300,000 patient visits reported 15,700 hours saved. Because providers still review and finalize notes for accuracy, the tools function as support systems rather than replacements. The time saved may help reduce administrative burden and allow clinicians to devote more attention to patient interactions, potentially addressing factors linked to burnout.
Customization and Future Capabilities: Healthcare providers are seeking AI scribe tools that allow customization of note structure and detail to meet the varied needs of different specialties and individual clinicians. There is a preference for maintaining depth and clinical reasoning within documentation rather than oversimplified summaries. Looking ahead, companies are expanding beyond basic note generation toward broader AI “copilot” capabilities, including real-time access to patient history, workflow integration with electronic health records, and potential language translation support, signaling continued evolution of the technology.
FTC Secures Landmark Settlement with Express Scripts to Lower Drug Costs for American Patients
By Victoria Graham – The Federal Trade Commission secured a landmark settlement with one of the nation’s largest pharmacy benefit managers (“PBMs”), Express Scripts, Inc., and its affiliated entities (collectively “ESI”). The settlement requires ESI to adopt fundamental changes to its business practices that increase transparency, are expected to drive down patients’ out-of-pocket costs for drugs like insulin by up to $7 billion over 10 years, bring millions of dollars in new revenue to community pharmacies each year, and advance the Trump Administration’s key healthcare priorities. Read Full Article...
HVBA Article Summary
Major Changes to PBM Practices: The settlement compels Express Scripts to overhaul several business practices, including ending the preference for high-priced drugs over identical lower-cost alternatives and increasing transparency for plan sponsors and pharmacies. These changes are designed to ensure that patients’ out-of-pocket costs are based on the net price of drugs, not artificially inflated list prices. The agreement also mandates new reporting and disclosure requirements to help plan sponsors comply with transparency regulations.
Impact on Drug Pricing and Community Pharmacies: The FTC expects the settlement to reduce patient drug costs by billions over the next decade and generate new revenue for community pharmacies. By transitioning to a more transparent reimbursement model and reshoring purchasing operations to the United States, the settlement aims to benefit both consumers and smaller pharmacy businesses. These measures are intended to address concerns that PBM practices have previously contributed to high drug prices and financial strain on independent pharmacies.
Broader Regulatory and Policy Implications: The settlement reflects the FTC’s ongoing efforts to address anticompetitive practices in the pharmacy benefit manager industry and aligns with broader healthcare policy goals. It includes provisions for compliance with price transparency laws, disclosure of broker payments, and the potential for expanded access to programs like TrumpRx. The public is invited to comment on the proposed agreement, and once finalized, the consent order will have the force of law for future actions.

Employers push critical illness plans amid health risks
By Jimmy Nesbitt – Each year, heart disease exacts a staggering toll — not only in lives lost, but in hundreds of billions of dollars in lost productivity for U.S. workers and employers. Those who survive a heart attack or stroke frequently confront a second battle: mounting medical bills and unexpected expenses that traditional coverage doesn't fully absorb. Amid that strain, a little-used workplace benefit — critical illness insurance — can provide a financial lifeline. "It's an important part of the benefits portfolio for employees," says Stephanie Shields, head of employee benefits at Equitable. "It plays a big role in complementing medical plans by closing the gap that's created by high deductible plans." Read Full Article... (Subscription required)
HVBA Article Summary
Critical Illness Insurance Bridges Financial Gaps: Critical illness insurance is designed to provide employees with a lump-sum payment when diagnosed with serious conditions such as heart attack, stroke, or certain cancers. This payment can be used for a variety of expenses beyond what traditional health insurance covers, including living costs, lost income, and travel for care. The benefit is particularly valuable for those enrolled in high-deductible health plans, as it helps offset out-of-pocket costs that might otherwise create financial hardship.
Rising Chronic Conditions Increase Need for Supplemental Coverage: The prevalence of chronic health conditions among American workers is increasing, contributing to higher rates of high-cost medical claims. Many employees are not fully confident in their understanding of critical illness insurance, but education about the benefit leads to greater appreciation and perceived value. As more workers manage ongoing health issues, supplemental coverage like critical illness insurance becomes an important tool for financial security.
Ongoing Education and Engagement Are Essential: Benefit leaders are encouraged to communicate regularly with employees about the full range of available benefits, not just during open enrollment periods. Tying discussions to health awareness campaigns, such as American Heart Month, can help increase engagement and understanding. Continuous education ensures that employees are better prepared to make informed decisions about their health and financial well-being throughout the year.







