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Elevance Health increasing access to smartphones in bid to tackle digital divide

Elevance said the offering will help to bridge the digital divide, giving people access to digital and virtual healthcare tools.

Jeff Lagasse, Editor

Photo: Tim Robberts/Getty Images

At this year's Consumer Electronics Show, Elevance Health said it would launch a program offering smartphones with unlimited data, talk and texting service at no cost to eligible individuals enrolled in some of its affiliated Medicaid health plans.

CES runs through January 12 in Las Vegas.

The devices come preloaded with customization for individual users. Elevance said the offering will help to bridge the digital divide, giving people access to digital and virtual healthcare tools they might not have had otherwise.

"Increased availability of digital technologies, such as a smartphone, as well as fast, reliable internet, is critical to supporting a person's health journey," said Omid Toloui, vice president, Innovation, at Elevance Health. "We believe the digital tools and the custom, curated experience offered through this program can help improve health, make healthcare more affordable, and serve people more equitably."

WHAT'S THE IMPACT?

The effort is a result of a collaboration between Elevance Health and Verizon, together with Samsung, AT&T and T-Mobile. It's supported by funding from the Federal Communications Commission's Affordable Connectivity Program. Elevance said its program is different from other ACP benefits because of its high-quality offerings, customization and healthcare focus.

Nearly one in four U.S. adults with household incomes below $30,000 a year do not own a smartphone, and 43% do not have home broadband internet services, according to data cited by the company. Among these, half report the high cost of connectivity as the reason for such unavailability.

The smartphones are intended to be a connection point for people to reach their Medicaid health plan care team. Program participants will have access to complementary educational materials on how to use and navigate the smartphone, as well as a dedicated customer service call center for support, if needed.

The program will launch in multiple states in 2024, and Elevance hopes to reach hundreds of thousands of members within its affiliated Medicaid plans.

To join, members will work with their Medicaid health plan to check their eligibility for financial support through the ACP. Eligible individuals will then work with their Medicaid health plan to participate in the program. Once the program has been launched in respective states, Medicaid members can contact member services using the number listed on the back of their insurance card to learn more.

THE LARGER TREND

Financial results for the fourth quarter of 2023 have not yet been revealed, but in Q3 Elevance raked in $1.3 billion in profit. While this was a decrease from the $1.6 billion posted in Q3 2022, overall revenue climbed year over year, hitting $42.5 billion, compared to $39.9 billion last year.

The increase was primarily driven by higher premium revenue in the health benefits business and growth in pharmacy product revenue in CarelonRx due to growth in external pharmacy members served, plus the acquisition of BioPlus in the first quarter.
 

Jeff Lagasse is editor of Healthcare Finance News.
Email: jlagasse@himss.org
Healthcare Finance News is a HIMSS Media publication.