Corporations can leverage their power to tackle difficult social problems while simultaneously delivering value to their shareholders and communities. Achieving this balance supports a more robust and equitable economy and unlocks new opportunities for American families.
A great example of this is JPMorgan Chase & Co.’s investment in Detroit. After the city’s historic bankruptcy in 2013, the firm committed $200 million in philanthropic capital, skilled volunteerism, and low-cost loans to fuel its economic recovery, focusing on neighborhood revitalization and affordable housing, skills training and job creation, small business growth, and financial security for residents.
A decade later, this work has shown that investing in Detroit has been good for business, but even more importantly, we see the returns in the form of a stronger economy. From 2015 to 2021, the per capita income of Detroit’s residents increased by 23 percent, the percentage of unbanked residents decreased by more than half, and the median credit score rose by 9 percent. In 2023, Detroit’s unemployment rate fell under 7 percent—its lowest since 2000.
Healthier employees fuel a more productive workplace and drive better results.
Like Detroit, Morgan Health is approaching and developing solutions to employer-sponsored health care from a business perspective. Just as outcomes like an increase in per capita income or less unbanked households in Detroit are good for the economy, we know that healthier employees fuel a more productive workplace and drive better results.
Across the country, businesses of all sizes pour significant dollars into health-care coverage for their employees, only for patient outcomes not to keep pace with rising costs. This has been accepted as the status quo in health care for far too long. More than half of the US population—180 million people—rely on the health coverage they receive from their employer. These benefits cover a highly diverse population with many unmet needs in health care.
A key pillar of our strategy is to invest in companies that are driving positive changes in employer-sponsored health care and have the potential to scale their innovations. Since 2021, we have invested in six companies: apree health (advanced primary care), Centivo (affordable health plans), Embold Health (data analytics), LetsGetChecked (at-home diagnostics), Kindbody (fertility), and Personify Health (industry’s first personalized health platform).
These investments build on two of our key learnings from Detroit: Identify innovation and scale it, and stay focused on distinct strengths and expertise. Our portfolio companies are expected to achieve reasonable market returns on investment capital. This strengthens the focus on scalable innovation and further emphasizes the value of delivering differentiated, expert-based care in the employer health care market.
Take investments in preventive and primary care, for example. Moving towards an advanced primary care model integrates a full spectrum of specialty care and ensures that payments are based on patient outcomes rather than the volume of services performed. In essence, this means employers are paying more to prevent conditions like diabetes or hypertension than to treat them. These types of investments can help alleviate the downstream financial burden of chronic illnesses and acute care interventions on a long-term basis.
Advanced primary care provides the capabilities necessary to “quarterback” a patient’s care journey and ensure all aspects are coordinated and complementary. In August 2022, JPMorgan Chase & Co., apree health, and Central Ohio Primary Care launched five on-site and near-site advanced primary care centers in Columbus, Ohio, for 35,000 JPMorgan Chase & Co. employees and their family members. More than 6,000 patients have visited the care centers for 9,000+ appointments for various health services, with 33 percent returning for added care and consultation.
Apree’s net promoter score is 86—a significant accomplishment in the context of health care that is so often fragmented and difficult to navigate. Also of note, apree has since scaled this model to other geographies such as Seattle, Atlanta, and Wilmington, North Carolina.
We need more efforts like this, aimed at improving the equity, quality, and affordability of health care in the United States. It is our hope that our work will serve as a model for other corporations that are committed to addressing social problems head-on while creating meaningful returns for their shareholders and the communities where they operate.