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- Daily Industry Report - May 1
Daily Industry Report - May 1

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 |
A pulse check on healthcare 100 days in
By Dave Muoio, Noah Tong, Emma Beavins, Anastassia Gliadkovskaya, Paige Minemyer - The opening months of President Donald Trump’s second term in office have brought a clear paradigm shift across healthcare—both inside and outside of the federal government. Since his opening salvo of executive orders, the president and his administration have been pushing to overhaul the funding and oversight of care delivery. Read Full Article…
HVBA Article Summary
Massive federal health agency layoffs and reorganizations have gutted public health infrastructure: Under President Trump’s second term, led by allies like Elon Musk and RFK Jr., the Department of Health and Human Services slashed tens of thousands of jobs, eliminated or consolidated key agencies, and drastically cut research and public health funding, leaving critical programs like disease surveillance, vaccine promotion, and HIV prevention severely weakened.
Aggressive deregulation, executive orders, and targeted rollbacks are reshaping healthcare policy and access: The administration has prioritized deregulation, eliminating diversity, equity and inclusion initiatives, restricting gender-affirming care, limiting reproductive health funding, and reducing ACA and Medicaid enrollment efforts, while bypassing public input and consolidating agency oversight under the White House, raising alarm among public health and legal experts.
Global health collaborations and foreign aid programs have been dismantled, undermining U.S. leadership and global health security: The administration withdrew from the World Health Organization, froze and canceled USAID global health programs, and halted thousands of international health grants, triggering widespread closures of clinics, halted disease prevention efforts, and worsening global health crises.
HVBA Poll Question - Please share your insightsDo you offer pet insurance options to your customers? |
Our last poll results are in!
28.66%
Of Daily Industry Report readers who participated in our last polling question, when asked, “What is the biggest barrier to addressing diabetes in the workplace?” responded with ” Insufficient employer support for comprehensive health programs.”
24.43% stated that their biggest barrier to addressing diabetes in the workplace was “high costs associated with diabetes care and management,” 24.27% of poll participants stating " limited access to healthcare services and resources for employees.” The remaining 22.64% identified “lack of awareness about available diabetes prevention and management programs” as their primary barrier.
Have a poll question you’d like to suggest? Let us know!
Proposed Walgreens deal could create more pharmacy deserts, Sen. Warren warns
By Allison Bell - Sen. Elizabeth Warren is warning that Sycamore Partners' effort to buy Walgreens Boots Alliance could create more pharmacy deserts. Walgreens Boots Alliance is the parent of the Walgreens and Duane Reade drugstore chains. Sycamore, a private equity firm, agreed in March to acquire the company for $23.7 billion. Read Full Article… (Subscription required)
HVBA Article Summary
Senator Warren raises alarms over Walgreens-Sycamore deal’s high debt financing: In a letter to Sycamore Partners, Warren highlighted an analysis showing that 83.4% of the proposed Walgreens acquisition would be financed through debt—about twice the average debt level for private equity acquisitions in 2024. She questioned whether this heavy debt burden would undermine Walgreens’ ability to invest in improving operations and restoring profitability.
Concerns about potential store closures, layoffs, and loss of pharmacy access: Warren pointed to Sycamore’s track record with other retail acquisitions, including bankruptcies and mass closures at Belk and Nine West, as a warning sign that similar outcomes could hit Walgreens. She expressed fears that additional Walgreens closures would deepen "pharmacy deserts," leaving many communities without access to nearby pharmacy services, while also threatening employee job security.
Demands for transparency on Sycamore’s post-acquisition strategy: Warren pressed Sycamore’s leadership for answers about their plans for Walgreens, including whether they intend to close more stores, lay off workers, sell store properties to investors and lease them back, or dismantle key brands like Village Medical, Summit Health, and CityMD. She questioned whether such a high debt load would constrain Walgreens’ ability to maintain and expand essential health services.
Republican lawmakers urge CMMI to focus on cost savings, transparency
By Emily Olsen - Concerns among lawmakers about CMMI’s savings record aren’t new, especially for Republicans. The CMMI was created by the Affordable Care Act to test new payment and care delivery models to lower costs and improve quality in government healthcare programs. Read Full Article… (Subscription required)
HVBA Article Summary
CMMI faced criticism for increased spending and shifting priorities: A 2023 Congressional Budget Office report found that the Center for Medicare and Medicaid Innovation (CMMI) increased net federal spending by $5.4 billion over its first decade, leading lawmakers to accuse the agency of prioritizing political agendas—such as advancing health equity—over cost savings in its payment models.
Lawmakers support canceling costly models and urge rural health focus: Republican lawmakers praised CMMI’s recent decision to cancel or modify several payment models to save nearly $750 million and called for the development of new models specifically aimed at improving healthcare access and outcomes in rural communities following the end of the Pennsylvania Rural Health Model.
Calls for greater transparency and provider engagement in model design: Legislators urged CMMI to increase transparency, provide more opportunities for public and provider input during the design of new models, and improve communication when making significant changes, citing an Avalere Health analysis showing limited opportunities for public feedback in past initiatives.
How Employers Can Leverage Value-Based Care to Drive Retention and Improved Health Outcomes for Employees
By Robert Andrews - American workers are currently facing a shifting labor market: with job openings at a four-year low, employees are both seeking stability and bringing an increased level of discernment to potential job changes. But one thing remains consistent. Even in this environment of heightened economic uncertainty, a critical factor determining whether employees stay or go remains the same: healthcare. Read Full Article…
HVBA Article Summary
Health benefits are critical for employee retention and recruitment: With 70% of employees ranking health insurance as the most important factor in deciding whether to stay in their current job or seek a new one, employers must offer benefits that go beyond basic coverage. To attract and retain top talent, employers need health plans that improve access, affordability, and—most importantly—health outcomes, positioning benefits as a key driver of engagement and loyalty.
Value-based care offers a sustainable, outcomes-focused solution for employers: Value-based care shifts healthcare from paying for volume to paying for results, linking provider payments to patient outcomes like quality, equity, and cost of care. This approach enables employers to offer health plans that deliver better care at lower costs, while fostering greater employee confidence, satisfaction, and long-term health—creating a win-win for employees, employers, and the broader economy.
Employers must prioritize personalization, prevention, benefits literacy, and price transparency: To effectively implement value-based care, employers should use data to create personalized care plans that account for individual needs and social determinants of health; promote preventive care and chronic disease management through strong provider networks; improve employee confidence by offering clear, accessible education on benefits options; and ensure price transparency so employees can make informed, cost-conscious decisions. Together, these strategies help drive better health outcomes while controlling costs and strengthening workforce well-being.
Wegovy telehealth push launched as compounding pharmacies face restrictions
By Alan Goforth - Wegovy, the popular weight-loss drug from Novo Nordisk, will be available through several leading telehealth providers, beginning this week. The company’s announcement comes as many compounding pharmacies have been restricted from making unapproved, less-expensive versions of GLP-1 medications. Read Full Article… (Subscription required)
HVBA Article Summary
Telehealth partnerships ensure continued access to Wegovy as compounded versions are phased out: As compounded semaglutide production winds down, Novo Nordisk has partnered with telehealth providers to maintain patient access to branded Wegovy. Through its new online pharmacy, NovoCare, the company is working to transition patients seamlessly from compounded medicines to FDA-approved treatment, reinforcing that supply is now sufficient for all doses.
Hims & Hers, Ro, and LifeMD expand Wegovy access with bundled telehealth services: Through NovoCare, telehealth platforms Hims & Hers, Ro, and LifeMD will offer Wegovy at monthly prices ranging from $499 to $599 for eligible cash-paying patients with a prescription. Each platform’s offering includes additional support services—such as 24/7 medical access, one-on-one coaching, and nutrition guidance—designed to enhance patient outcomes and support sustainable weight management.
Compounded Wegovy supply ends as FDA-enforced deadlines take effect: A recent federal court ruling requires compounding pharmacies to stop producing Wegovy copies, closing a temporary channel allowed during past supply shortages. Smaller pharmacies must halt immediately, while larger facilities have until May 27 to comply. Novo Nordisk emphasized that this reflects restored full supply, signaling that branded Wegovy is now available nationwide for patients and providers.
U.S. Health and Medical Insurance Market 2025-2030: Tech Adoption and New Policies Intensify Competitive Landscape, Reaching Revenues of $2.13 Trillion by 2030
By Brittney Meredith-Miller - The "United States Health and Medical Insurance - Market Share Analysis, Industry Trends & Statistics, Growth Forecasts (2025-2030)" report has been added to ResearchAndMarkets.com's offering. The United States Health and Medical Insurance Market size is estimated at USD 1.59 trillion in 2025, and is expected to reach USD 2.13 trillion by 2030, at a CAGR of greater than 6% during the forecast period (2025-2030). Read Full Article… (Subscription required)
HVBA Article Summary
Employer-sponsored and private health insurance remain the cornerstone of U.S. healthcare coverage: With no universal healthcare system, most Americans obtain insurance through their employers or purchase individual plans from private insurers, while government programs like Medicare, Medicaid, and CHIP assist specific populations such as seniors and low-income families.
The U.S. health insurance market is evolving through digital innovation and rising competition: Online insurance purchases are rapidly growing due to consumer demand for convenience, technology-driven platforms, and expanded digital tools like AI and chatbots, while major insurers face increasing competition from new entrants employing strategies like mergers, partnerships, and tech adoption.
Chronic disease prevalence is driving health insurance demand amid rising costs: The high costs of treating chronic conditions such as cancer, diabetes, and heart disease are pushing more Americans to secure private health insurance to protect against large medical expenses, contributing to overall market growth despite affordability challenges for many individuals.

Benefits Think: Gen Z is entering their benefits era. How can benefit managers prepare?
By Kristen Larson - Do you remember thinking about health insurance when you landed your first job? I sure didn't. When I started working at a small event-planning company in Chicago, I was thrilled. The work was fast-paced, exciting, and paid me well. They didn't offer health insurance, but I was in my early twenties and felt healthy enough, despite a pre-existing condition from a college health scare. That condition made private insurance impossible to get, but I wasn't worried. Read Full Article…
HVBA Article Summary
Younger workers face significant confusion and financial barriers when navigating health insurance: With healthcare costs rising faster than inflation, Gen Z and millennial employees are overwhelmed by premiums, copays, and deductibles. More than half report randomly selecting their health plans, and 36% of insured young adults have skipped or delayed necessary care because of cost concerns. This confusion puts them at risk of unaffordable care and poorer health outcomes.
Current onboarding processes often fail to provide the personalized support Gen Z needs: Many Gen Z workers enter the workforce without a clear understanding of basic insurance terms like "copay" and "deductible." Instead of receiving tailored, one-on-one guidance, they often experience generic online or group onboarding sessions. As a result, they’re left relying on parents or incomplete online information, which can lead to poor plan choices, lack of access to mental health care, and missed opportunities for preventive services.
Employers must offer personalized, jargon-free benefits education to improve engagement and health outcomes: To better support younger workers, employers need to go beyond standard HR presentations by providing individualized guidance from benefits experts or health advocates who can answer specific questions. By cutting through insurance jargon and fostering direct conversations, employers can empower employees to make informed, confident healthcare decisions, improving trust, care access, and ultimately reducing long-term healthcare costs.