Leading well-being enhancement company Healthways (HWAY - Analyst Report) and ConnectiCare recently revealed a 3-year partnership to provide the SilverSneakers Fitness Program. Starting from Jan 1, 2013, SilverSneakers will be available to eligible enrollees of ConnectiCare VIP Medicare Advantage plans.
Headquartered in Farmington, Connecticut, ConnectiCare is a health plan. It is a subsidiary of EmblemHealth. The company provides a range of healthcare plans ranging from products for individuals to services for businesses. The National Committee for Quality Assurance ranks ConnectiCare in the highest 10% of health plans in the country.
The Healthways model encourages people to make favorable lifestyle changes that lead to enhanced well-being, reduced healthcare costs, improved performance and economic value for customers. The company has invested in technology platforms that provide scalable support for large populations. It has tie-ups with a large proportion of U.S. health plans and counts many millions of lives in its customer base.
Due to its unique scalable business model, Healthways shares may present a long-term investment opportunity, although it faces many challenges in the short term.
Healthways is the leader in a strategically critical and rapidly evolving part of the health care services market. Its fitness program (SilverSneakers) for seniors is available at over 15,000 centers across the U.S. and caters to over nine million eligible enrollees.
The SilverSneakers Fitness Program encourages older people to regularly exercise, thereby reducing healthcare expenses and enhancing well being. The program promotes positive changes in behavior by meshing social encounters with its fitness regimen. Healthways competes with Express Scripts Holding Company (ESRX - Analyst Report) among others.
Currently, Healthways retains a Zacks Rank #3 (Hold), which supports its Neutral recommendation for the long term.