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- Daily Industry Report - January 27
Daily Industry Report - January 27
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 |
What a US Exit From the WHO Means for Global Health
By Amy Maxmen - For decades, the United States has held considerable power in determining the direction of global health policies and programs. President Donald Trump issued three executive orders on his first day in office that may signal the end of that era, health policy experts said. Read Full Article…
HVBA Article Summary
Geopolitical Consequences of U.S. Withdrawal from WHO: Trump's executive order to withdraw from the World Health Organization (WHO) would likely diminish U.S. influence in global health policy, ceding leadership to countries like China. Experts argue this move undermines America's strategic interests and weakens its ability to shape international health responses, particularly in times of global emergencies like pandemics.
Impact on Global Health and Disease Prevention: The U.S. has been a major financial contributor to the WHO, and its withdrawal could significantly reduce funding for critical programs combating diseases such as polio, malaria, HIV, and tuberculosis. Lower-income countries reliant on WHO support may face worsening health crises due to the funding shortfall and decreased international collaboration.
Project 2025’s Influence on U.S. Global Health Policy: The decision to exit the WHO aligns with policy recommendations from Project 2025, a conservative framework advocating for a shift in U.S. foreign aid priorities. The report criticizes the WHO’s handling of the COVID-19 pandemic and calls for an overhaul of global health funding, reflecting a broader ideological shift toward "America First" policies that deprioritize multilateral cooperation.
HVBA Poll Question - Please share your insightsDo your employer groups offer a program to their employees providing them a way to access the legal, financial, and medical resources needed to provide care and respond effectively to unexpected emergencies for themselves and their loved ones? |
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Our last poll results are in!
35.06%
of Daily Industry Report readers who participated in our last polling question when asked what their opinion of the FDA’s recent decision to reinstate Lilly’s Tirzepatide on the drug shortlist was, agree with the FDA’s decision and believe “Patients need access to this medication and there still isn’t enough supply.”
29.87% “somewhat agree. But [are] skeptical of compounding.” 25.98% remained “neutral,” while 9.09% disagreed with the decision.
Have a poll question you’d like to suggest? Let us know!
UnitedHealthcare names successor to replace slain CEO
By John Tozzi - UnitedHealth Group Inc. promoted the head of its Medicare health plan business to lead the company’s broader insurance division, filling the job previously held by slain executive Brian Thompson. Read Full Article… (Subscription required)
HVBA Article Summary
Leadership Transition Amid Scrutiny: Tim Noel, formerly the chief executive of UnitedHealth’s Medicare division, has been appointed CEO of UnitedHealthcare following the tragic killing of his predecessor, which intensified scrutiny on health insurance practices and corporate security concerns.
UnitedHealthcare’s Financial Strength: Noel will lead the company’s largest revenue-generating segment, which reported $298 billion in sales and $15.6 billion in operating profit in 2024, with Medicare Advantage playing a crucial role despite regulatory pressures.
Experienced Leadership in a Complex Industry: Having joined UnitedHealth in 2007 and led the Medicare division since 2021, Noel is recognized as an expert in healthcare finance and policy, with CEO Andrew Witty commending his ability to navigate regulatory challenges and industry shifts.
Medicare Reforms Necessitate More Formulary Oversight
By A. Mark Fendrick, and Kirsten Axelsen - The transition to the Trump-Vance administration is in full swing. Although the specifics of the new administration’s health agenda aren’t clear, some of the first—and most consequential—decisions the Trump White House will have to make are related to the Inflation Reduction Act (IRA). Read Full Article…
HVBA Article Summary
Balancing Cost Savings with Patient Access: The IRA’s Medicare Part D redesign aims to lower out-of-pocket costs for beneficiaries, including an annual $2,000 cap on prescription drug expenses. However, shifting financial responsibility to insurers may incentivize restrictive formulary designs and utilization management strategies that could limit patient access to essential medications.
Challenges in Monitoring and Enforcement: CMS has yet to establish clear, comprehensive oversight mechanisms to track how formulary changes and utilization management affect patient access. The IQVIA study on oncology drugs highlights significant delays and denials despite protected status, indicating a need for updated regulatory standards and better enforcement.
Policy Adjustments to Protect Beneficiaries: To mitigate potential negative consequences, CMS should enhance formulary oversight, ensure transparency in patient access metrics, and refine cost-control measures that do not compromise clinical judgment. Alternative cost-saving strategies, such as reducing expenditures on low-value care, could help balance affordability and access.
The Insured to Health Plans: ‘We’d trust you more if…’
By Laura Beerman - Trust. It tends to get undermined when expensive health benefits don't yield affordable health care, the kind that meets people where they are. "Health plans looking to build deeper relationships with their members need to start by building back trust," says Walter Jin, chair at CEO at Pager HealthSM. Read Full Article…
HVBA Article Summary
Health Plans Must Support Well-Being: Insured Americans expect their health plans to offer personalized, accessible, and integrated experiences. Survey findings highlight a strong demand for well-being recommendations after medical appointments (74%), 24/7 nurse access (79%), and digital tools that facilitate follow-ups, like appointment scheduling (77%).
Health Plans Must Leverage AI: The survey reveals a high level of trust in AI-powered health services, with 75% trusting AI to find in-network doctors and schedule appointments, 67% trusting AI copilots for navigating benefits, and 66% believing AI-driven health experiences should be real-time, accurate, and personalized.
Health Plans Must Deliver Personalized Engagement: Many insured individuals (41%) feel health plan recommendations are impersonal or nonexistent. However, 45% would follow personalized, data-driven recommendations, and 34% would encourage wellness program use. Pager Health sees this as a significant opportunity for plans to enhance engagement and satisfaction.
Employers grapple with rising health care costs and fiduciary concerns
By Alan Goforth - Being an employer in 2025 is not for the faint of heart. Striking the right balance in providing competitive benefits that support and engage the workforce while navigating an environment of growing fiduciary risk and cost containment pressures is a major challenge. Read Full Article… (Subscription required)
HVBA Article Summary
Rising Health Care Costs and Employer Commitment: Despite increasing health care costs, employers remain dedicated to providing robust benefits, with 43% increasing their health care spend in 2025. Employers are also taking a more strategic approach to managing fiduciary responsibilities, particularly in selecting vendors and pharmacy benefit management, with 70% prioritizing the control of prescription drug costs.
Administrative Challenges and Compliance Strategies: Managing leave requirements remains a complex task, with over 70% of employers spending more than four hours on each leave request. To navigate compliance challenges, many are turning to technology-supported or outsourced leave management solutions to streamline administrative processes and enhance efficiency.
Comprehensive Wellbeing and Holistic Health Initiatives: Employers are expanding their benefits to include mental, physical, and social wellbeing programs. This includes increased mental health support for employees and their families, weight management programs influenced by GLP-1 medications, and social wellbeing initiatives to foster workplace connections across remote and in-office employees.
A Guide for Discussing GLP-1s as Obesity Treatments
By John Watson - The arrival of drugs that mimic the gut hormone glucagon-like peptide 1 (GLP-1) has revolutionized the treatment of overweight and obesity, offering a biologic intervention that targets the root neurohormonal and genetic causes of these chronic conditions. Read Full Article…
HVBA Article Summary
Addressing Patient Hesitancy: Clinicians must acknowledge past failures in obesity treatment and educate patients on the biological basis of weight regulation to build confidence in GLP-1 therapies. Overcoming fears related to past weight loss medication issues, injections, and long-standing weight stigma can help improve patient acceptance.
Shifting Focus Beyond Weight Loss: Instead of emphasizing weight loss alone, clinicians should highlight GLP-1 benefits such as improved cardiovascular health, better diabetes control, and enhanced quality of life. Setting realistic expectations and aligning treatment with personal health goals can lead to greater patient engagement.
Minimizing Discontinuation Rates: Side effects, costs, and accessibility issues contribute to high discontinuation rates of GLP-1 therapies. Providing education on managing side effects, encouraging hydration, adjusting dietary habits, and exploring financial assistance programs can help patients stay on track with treatment.
Workplace life insurance sales forecast looks cloudy
By Allison Bell - U.S. life insurance benefits sales might grow a little this year, or they might not. Analysts at LIMRA are predicting, cautiously, that total workplace life sales could increase 3% over the next 12 months, to about $4.5 billion, after rising 3.3% in 2024. Read Full Article… (Subscription required)
HVBA Article Summary
Erosion of Purchasing Power & Rising Costs: Despite a low unemployment rate and employer retention efforts, inflation is reducing workers' purchasing power, while rising health coverage costs are limiting employer budgets for other benefits.
Slow Growth in Non-Medical Benefits Sales: LIMRA analysts predict modest growth in long-term disability insurance (3.8% increase to $3.3 billion) and short-term disability insurance (4% increase to $1.3 billion), but overall sales remain soft due to economic pressures.
Declining Employee Participation: Participation rates in key employer-sponsored benefits have declined between 2019 and 2024, with life insurance dropping from 61% to 58%, short-term disability from 42% to 39%, and long-term disability from 37% to 33%, leading to coverage gaps for workers.
US sets WHO exit date
By Madeline Ashley - The United States will exit the World Health Organization on Jan. 22, 2026, Reuters reported Jan. 23. Read Full Article…
HVBA Article Summary
U.S. Withdrawal from WHO: President Donald Trump signed an executive order on Jan. 20 to remove the U.S. from the World Health Organization (WHO), citing concerns over the organization's handling of the COVID-19 pandemic, lack of reforms, and political influence from member states.
Revisiting a Previous Attempt: Trump originally sought to withdraw the U.S. from WHO during his first administration, but the Biden administration reversed the decision in 2021 before the process was finalized.
Impact of the Order: The executive order halts U.S. funding and resources for WHO, mandates a review and overhaul of the 2024 U.S. Global Health Security Strategy, and recalls U.S. personnel and contractors engaged with the organization.