The Iowa Clinic Signs Multi-Year Agreement with Counterpart Health to Deploy Proven AI Technology to Hundreds of Providers Across the Midwest

Rhea-AI Summary

Counterpart Health, a subsidiary of Clover Health (NASDAQ: CLOV), has signed a multi-year agreement with The Iowa Clinic, a leading multispecialty healthcare group in the US. The Iowa Clinic, with over 250 providers across 40+ specialties, will deploy Counterpart's AI-powered physician enablement platform, Counterpart Assistant, to its Medicare Advantage and Medicare Shared Savings Program patients.

The platform will also be available to The Iowa Clinic's clinically integrated network partners in the Midwest. Counterpart will receive a per-member, per-month fee and potential incentive payments based on care management goals. The AI-enabled solution is designed to support earlier diagnosis and management of chronic diseases, with Clover Health reporting a 1,000 basis point medical cost ratio differential for members whose PCPs use Counterpart Assistant versus those who don't.

Positive

• Multi-year agreement with a leading healthcare provider expands Counterpart Health's presence in the Midwest
• Per-member, per-month fee structure with potential for additional incentive payments
• Counterpart Assistant has shown a 1,000 basis point medical cost ratio improvement for Clover Health's Medicare Advantage plans
• Technology will be available to The Iowa Clinic's network partners, potentially increasing user base

Negative

• None.

Insights

Financial Analyst

This partnership marks a significant expansion for Counterpart Health into the Midwest market, potentially boosting its revenue stream. The per-member, per-month fee structure, coupled with performance-based incentives, suggests a sustainable and scalable business model. The Iowa Clinic's reputation and size (250+ providers, 40+ specialties) make it a valuable anchor customer, possibly leading to further adoptions in the region.

Financially, the most striking data point is the 1,000 basis point MCR differential in Clover Health's Medicare Advantage plans. This substantial cost reduction could translate to significant savings for The Iowa Clinic and improved profitability for Counterpart Health. However, investors should note that this is based on Clover Health's experience and may not directly replicate in this new partnership.

Healthcare Technology Expert

Counterpart Assistant represents a cutting-edge application of AI in healthcare. Its ability to integrate real-time insights from 100+ data sources and utilize 100+ machine learning models for early disease detection is impressive. This level of data integration and analysis could significantly enhance clinical decision-making and patient outcomes.

The platform's focus on chronic disease management is particularly relevant given the aging population and rising healthcare costs. If Counterpart can consistently deliver on its promise of earlier diagnosis and better management of costly chronic diseases, it could become a game-changer in value-based care models. The key challenge will be ensuring seamless integration into existing workflows and demonstrating consistent results across different healthcare settings.

Market Research Analyst

This deal signals a growing trend towards AI adoption in healthcare, particularly in managing complex patient populations like Medicare Advantage members. The Iowa Clinic's decision to implement Counterpart Assistant across its network suggests a strong market demand for AI-powered clinical support tools.

The partnership's potential to extend to The Iowa Clinic's clinically integrated network partners throughout the Midwest indicates a significant market expansion opportunity for Counterpart Health. This could lead to a network effect, where success with The Iowa Clinic might drive adoption among other healthcare providers in the region. However, the competitive landscape for AI in healthcare is intensifying and Counterpart will need to maintain its technological edge and demonstrate consistent results to capitalize on this opportunity fully.

FRANKLIN, Tenn., Sept. 03, 2024 (GLOBE NEWSWIRE) -- Today, Counterpart Health, Inc. (“Counterpart”), a leading AI-powered physician enablement platform, announced a multi-year agreement with The Iowa Clinic, P.C., one of the most highly regarded multispecialty healthcare groups in the United States. This deal positions The Iowa Clinic as one of Counterpart's anchor customers in the Midwest, as Counterpart drives a broader strategic expansion across the country. Counterpart is a subsidiary of Clover Health Investments, Corp. (NASDAQ: CLOV) (“Clover Health”).

Founded in 1994, The Iowa Clinic is a benchmark for excellence in American healthcare, recognized as one of America's Top 100 Healthcare Providers by Becker's Hospital Review and a recipient of multiple Press Ganey Guardian of Excellence Awards for patient satisfaction. As the largest physician-owned multispecialty group in its community, with over 250 providers across more than 40 specialties, The Iowa Clinic is celebrated for its pioneering physician-governed, patient-centered model. It also has been recognized for its leadership in patient safety by the Leapfrog Group and quality care by the NCQA. The clinic is a frequent collaborator in national research and an early adopter of advanced diagnostic technologies, with its physicians regularly featured in Castle Connolly's list of America’s Top Doctors. Renowned for its clinical expertise and commitment to innovation, The Iowa Clinic consistently delivers world-class, patient-centered care.

Under the terms of the agreement, clinicians serving The Iowa Clinic’s Medicare Advantage and Medicare Shared Savings Program patients will use Counterpart Assistant, Counterpart Health’s cutting-edge cloud-based software platform. Additionally, the platform will be made available to The Iowa Clinic’s clinically integrated network partners throughout the Midwest. Counterpart will receive a per-member, per-month fee, as well as potential incentive payments contingent on achieving certain care management goals.

“Counterpart Assistant was engineered in one of the most challenging healthcare markets in the nation, attracting leading payors and provider groups dedicated to addressing the complex needs of patients in challenging markets,” said Andrew Toy, CEO of Clover Health. “The Iowa Clinic stands at the forefront of innovative, value-based care solutions, and we are confident our technology will deliver substantial clinical value to the hundreds of physicians within this distinguished provider group, as well as their Medicare patients.”

“We take great pride in being a leader in the adoption of innovative medical technologies and treatments, always with the aim of elevating the quality of care our patients receive,” said Ben Vallier, CEO of The Iowa Clinic, P.C. “Counterpart’s ability to harness clinical data to drive improved outcomes, combined with its intuitive design that understands the needs of practicing clinicians, stood out among other potential solutions, and makes it a perfect fit for our organization. We are very optimistic about the immediate and long-term clinical and financial value it will bring to our providers and patients alike.”

Built on technology originally developed by Clover Health, Counterpart Assistant is an AI-enabled solution designed to seamlessly integrate into physicians’ workflows, supporting earlier diagnosis and management of chronic diseases, and is currently used by over a thousand physicians as part of their daily workflow to enhance patient care. By leveraging real-time insights from more than a hundred data sources and utilizing over one hundred machine learning models, providers using Counterpart Assistant can identify, diagnose, and treat some of the most costly chronic diseases earlier. For example, Clover Health has seen over a 1,000 basis point medical cost ratio (MCR) differential between returning members of its Medicare Advantage plans whose primary care physicians (PCP) use Counterpart Assistant versus those members whose PCPs do not. As Counterpart’s largest customer, the success of Clover Health’s PPO-focused Medicare Advantage plans stand as a powerful testament to the value the technology can bring to plans and providers managing Medicare risk.

For companies interested in learning more about how Counterpart can reduce the total cost of care in value-based care models through advanced chronic disease management, visit www.counterparthealth.com.

About Counterpart Health
Counterpart Health, a subsidiary of Clover Health Investments, Corp., or Clover Health, is a leading AI powered physician enablement platform. Counterpart Health’s flagship software platform, Counterpart Assistant, was incubated by Clover Health as Clover Assistant and has helped improve plan performance and clinical outcomes for Medicare members through proprietary AI technology. Counterpart Health extends the benefits of the data-driven technology platform outside of Clover Health’s Medicare Advantage plan to a wider audience, to enable enhanced patient outcomes and reduced healthcare costs nationwide. Clover Health has published data demonstrating the technology’s impact on Medication Adherence, as well as the earlier identification and management of Diabetes and Chronic Kidney Disease.

About The Iowa Clinic, P.C.
Formed in 1994, The Iowa Clinic is the largest independent, physician-owned multi-specialty group in the Des Moines community with more than 250 physicians and healthcare providers practicing in 40-plus specialties. The organization’s primary location is a 170,000 square-foot state-of-the-art medical facility located in West Des Moines. The Iowa Clinic has eight additional clinic sites throughout the Des Moines metropolitan area, as well as numerous outreach clinics in rural areas. The organization serves a population of 1.1 million patients averaging 450,000 visits per year. For additional information, visit iowaclinic.com.

Press Contact:
Andrew Still-Baxter
press@cloverhealth.com

Investor Relations Contact:
Ryan Schmidt
investors@cloverhealth.com

FAQ

What is the new partnership between Counterpart Health and The Iowa Clinic for CLOV stock?

Counterpart Health, a subsidiary of Clover Health (NASDAQ: CLOV), has signed a multi-year agreement with The Iowa Clinic to deploy its AI-powered Counterpart Assistant platform to hundreds of providers across the Midwest, serving Medicare Advantage and Medicare Shared Savings Program patients.

How will Counterpart Health generate revenue from the agreement with The Iowa Clinic?

Counterpart Health will receive a per-member, per-month fee for the use of its Counterpart Assistant platform. Additionally, the company may earn potential incentive payments contingent on achieving certain care management goals.

What impact has Counterpart Assistant shown on medical cost ratios for CLOV?

Clover Health has reported over a 1,000 basis point medical cost ratio (MCR) differential between returning Medicare Advantage plan members whose primary care physicians use Counterpart Assistant versus those whose PCPs do not.

How many providers at The Iowa Clinic will have access to Counterpart Assistant?

The Iowa Clinic has over 250 providers across more than 40 specialties who will have access to the Counterpart Assistant platform, with the potential to extend to their clinically integrated network partners throughout the Midwest.