The announcement comes only three months after the disbandment of Haven Healthcare, a joint venture between Amazon, Berkshire Hathaway, and JPMorgan Chase.
JPMorgan Chase announced the launch of Morgan Health, the company’s new healthcare venture, Thursday afternoon.
The initiative, which will aim to tackle "quality, efficiency, and equity" for employer-sponsored healthcare, will be led by CEO Dan Mendelson.
The announcement comes only three months after the disbandment of Haven Healthcare, a joint venture between Amazon, Berkshire Hathaway, and JPMorgan Chase.
"We need to try to make the U.S. healthcare system work better," Jamie Dimon, JPMorgan Chase chairman and CEO, said in a statement. "We have the best healthcare in the world in terms of doctors, hospitals, pharmaceutical and medical device companies, but we certainly do not have the best outcomes. Many of our problems have been around for a long time and are not aging well. There are ways we can make significant improvements and we intend to take a disciplined approach to solving some of these issues in a meaningful way."
Haven was first announced in June 2018 and led by Dr. Atul Gawande until he stepped down in May 2020. Speculation around why Haven failed centers on a lack of traction towards goals, unfocused execution of organizational strategy, a high turnover rate in the C-suite, and the fact that disrupting healthcare is not an easy feat.
But JPMorgan Chase isn't ready to throw in the towel yet.
Initially, Morgan Health will focus on serving JPMorgan Chase employees and families, while also being a model for other employers. JPMorgan also stated that it aims for Morgan Health to partner with other organizations in a step to make a bigger impact on healthcare.
The health venture has outlined three areas in which it will focus on:
- Accelerating health system improvement through a $250 million capital investment towards healthcare solutions and system improvements for JPMorgan Chase employees, and beyond.
- Improving healthcare benefits for its employers and others through strategic initiatives and collaboration
- Promoting healthcare equity through the communities and employees it serves
"JPMorgan Chase has been focused on improving healthcare for its employees for many years," Mendelson said in a statement. "We are going to take what we’ve learned and accelerate healthcare innovation in the employer-sponsored healthcare market, partnering with and investing in companies that share our goals, and measuring key health outcomes to show what works."
Melanie Blackman is a contributing editor for strategy, marketing, and human resources at HealthLeaders, an HCPro brand.
Photo credit: KIEV, UKRAINE - Dec 10, 2018: JPMorgan Chase Investment banking company logo seen displayed on smart phone. / Editorial credit: IgorGolovniov / Shutterstock.com