Oscar Health Inc (OSCR)

History and Background

Oscar Health Inc. was founded in 2012 by Mario Schlosser, Josh Kushner, and Kevin Nazemi. It aimed to leverage technology to simplify health insurance. Oscar went public in March 2021 and has since focused on expanding its geographical footprint and member base while working towards profitability.

Core Business Areas

• Individual & Family Plans: Oscar offers individual and family health insurance plans, providing coverage for medical, dental, and vision care.
• Small Group Plans: Oscar provides health insurance options for small businesses and their employees.
• Medicare Advantage Plans: Oscar offers Medicare Advantage plans, providing comprehensive coverage for seniors.
• Oscar + Care: Provides virtual and in-person primary care services.

Leadership and Structure

Mark Bertolini serves as the Chief Executive Officer. The organizational structure includes functional departments like marketing, technology, operations, finance, and actuarial. Board consists of experienced individuals from healthcare and technology sectors.

Key Offerings

• Individual & Family Plans: This is Oscar's main product, targeting individuals and families who do not receive insurance through an employer. Market share information is dynamic; see below in 'Market Share Comparison'. Competitors include UnitedHealth Group, Anthem, and Cigna.
• Medicare Advantage Plans: These plans provide Medicare beneficiaries with comprehensive health coverage. Market share is growing, but remains relatively small. Competitors include UnitedHealth Group, Humana, and CVS Health.
• Oscar + Care: Integrated virtual and in-person primary care with the goal of reducing costs and improving health outcomes. Competitors include Teladoc Health, and Amazon Clinic.

Industry Overview

The health insurance industry is highly regulated and competitive, influenced by factors such as healthcare costs, government policies (Affordable Care Act), and technological advancements. Consumer demand for affordable and accessible healthcare is increasing.

Positioning

Oscar Health Inc positions itself as a tech-driven health insurer focused on providing a user-friendly experience and value-based care. Its competitive advantages include a strong technology platform, emphasis on virtual care, and a customer-centric approach.

Total Addressable Market (TAM)

The TAM for health insurance in the US is estimated to be in the trillions of dollars. Oscar Health Inc is positioned to capture a small, but growing, share of this market, focusing on select geographic areas and demographics.

Key Competitors

• UNH
• HUM
• CI
• ANTM

Competitive Landscape

Oscar Health Inc. differentiates itself through its technology-driven approach, but faces intense competition from larger, more established insurers with greater financial resources and wider geographic presence. Key advantages are user experience and technology. Key disadvantages are profitability and market reach.

Historical Growth: Oscar Health Inc. has experienced rapid revenue growth since its founding, driven by expansion into new markets and increased membership. However, profitability has remained a challenge.

Future Projections: Analysts expect Oscar Health Inc. to continue growing its membership and revenue in the coming years, but profitability remains uncertain. The company's success will depend on its ability to manage healthcare costs and improve operational efficiency.

Recent Initiatives: Recent initiatives include expanding its Medicare Advantage footprint, investing in technology and data analytics, and strengthening partnerships with healthcare providers.

Oscar Health is an innovative company using technology to change the health insurance experience. Although membership has been increasing, the company still struggles to reach profitability and this is crucial for Oscaru2019s survival. Oscar's success depends on improving cost management and operational efficiency, while navigating a highly regulated and competitive market. While innovative, Oscar must become profitable.

Data Sources:

• Company filings
• Analyst reports
• Industry publications
• Market research reports

Disclaimers:

The information provided is for informational purposes only and should not be considered financial advice. Market share data is approximate and subject to change. Future performance is not guaranteed.