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Health Net unveils storefront service

By Patty Enrado

MODESTO, CA – At a time when health plans are trying to cut administrative costs by pushing member self-service to member portals, one health plan has opened a retail storefront to reach out to potential members.

The recent recipient of a five-year contract from California to deliver managed care for MediCal beneficiaries, Health Net of California decided a storefront was the best way to service the Stanislaus County population.

About 20 percent of the agricultural county’s population is uninsured, said David Friedman, government programs officer for Health Net.

The bilingual 10-member staff reflects the same cultures and values of the population.

The storefront, located in a shopping mall, comprises a Health Net office and a community center that will serve as a meeting place for health education classes.

“Our marketing has been a grassroots effort,” Friedman said. The health plan has enlisted local media, faith communities, youth organizations, Head Start programs in the schools, chambers of commerce and labor groups to inform lower- and middle-income people of available benefits. Community clinics have also approached the health plan to offer their services.

Friedman said Health Net will be tracking changes in its membership via product offerings to determine the effectiveness of the storefront concept.

The Centers for Medicare & Medicaid Services regulates the marketing activities of plans and the content of the plans’ notices. David Saÿen, associate regional administrator for Medicare health plans, said it makes business sense to provide a Medicare program tailored to an individual’s personal health needs.

“It’s an opportunity to get closer to the right set of benefits and an effort by one of our business partners to go into communities that are underserved,” he said.

CMS, whose strategy to deliver information via the Internet has worked well, opened a storefront in downtown Philadelphia that eventually folded because it was only for Medicare fee-for-service. Health Net also is offering commercial products for small businesses at its Modesto location.

“Access to healthcare is important,” said Supervisor Jim DeMartini of District 5. “Health Net has made a commitment to connect people with healthcare at a lower cost early on before problems occur. The storefront is meeting the needs of the community.”