Apple Is in Talks With Private Medicare Plans About Bringing Its Watch to At-Risk Seniors

Apple is discussing distributing Apple Watches to millions of people older than 65 with at least three private Medicare plans, reports CNBC . Experts see this move as reasonable, one that could prevent expensive doctor or hospital visits. "It's the segment of health insurance with the highest dollar revenue and margin per member," notes A2 Strategy Group's Augustin Ruta. He also says Medicare beneficiaries enrolled in private plans often have lower churn rates, which gives insurers a greater incentive to invest in members' long-term health outcomes. Apple previously entered into agreements with Aetna and United Healthcare about subsidizing the cost of the watch. The latest version of the watch, which includes fall detection and an electrocardiogram, sells for a minimum of $399, which many seniors cannot afford. Federal payments offer more flexibility for insurers operating Medicare Advantage plans to invest in new technologies, such as the Apple Watch, if they have a demonstrated benefit. "Avoiding one emergency room visit would more than pay for the device," says Bright Health CEO Bob Sheehy.