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Last week we hosted our second annual Future of Fintech conference with Vivek Garipalli, CEO of Clover Health kicking off the event in a fireside chat.
One of the more interesting notes from this discussion came when Garipalli talked about Clover’s long-term strategy. He spoke about Clover eventually going public in order to be transparent and trustworthy to both the company’s customers as well as the government. This would bring some much needed liquidity to the space as I’ve written about before, but the timeline is still unclear as to when that’s going to happen.
Another interesting discussion point is the idea that Clover could eventually get into therapeutics by combining the company’s longitudinal genotype/phenotype datasets on the chronic disease population and the falling cost of developing therapeutics, Garipalli mentioned that was an area he could see Clover getting into.
This would be quite the strategy. While you tend to hear other parts of the healthcare system traversing lines (hospitals becoming investors, insurers buying care clinics, etc.), very rarely do you see insurance companies dive into the pharma/therapeutics arena. This could be interesting because:
Lots of new “digital therapeutics” companies like Omada Health target the chronic disease population, which Clover could benefit a lot from and are cheaper to create, scale, and iterate (see our digital therapeutics collection here).
It could force pharma companies to have be more competitive with Clover’s own offerings, and consider cost/quality of life more significantly.
It creates a direct relationship between patients and a therapeutics maker (Clover in this case), which could change how clinical trials themselves are done (streamline recruitment, get more data from patients, etc.)
But how easy is it to just “jump in” to the therapeutics space? This has traditionally been an area where massive companies have maintained their positions, but this also could mean that it’s ripe for disruption from a new approach.
See our write-up of the interview with Vivek Garipalli here where he talks about trends in Medicare, regulatory uncertainty, and how Clover is better positioned than its competitors.