Summary of “Amazon, Berkshire Hathaway And JPMorgan Chase Launch New Health Care Company”

Amazon, Berkshire Hathaway And JPMorgan Chase Launch New Health Care Company : The Two-Way The new company will be “Free from profit-making incentives and constraints” as it tries to find ways to cut costs and improve health care plan satisfaction for employees.
Updated at 11:17 a.m. ET. Health care costs are “a hungry tapeworm on the American economy,” Berkshire Hathaway Chairman and CEO Warren Buffett says, and now his firm is teaming up with Amazon and JPMorgan Chase to create a new company with the goal of providing high-quality health care for their U.S. employees at a lower cost.
The new company will be “Free from profit-making incentives and constraints” as it tries to find ways to cut costs and boost satisfaction with the health care plan for employees of Amazon, Berkshire Hathaway and JPMorgan Chase.
“The health care system is complex, and we enter into this challenge open-eyed about the degree of difficulty,” said Jeff Bezos, Amazon founder and CEO. “Hard as it might be, reducing health care’s burden on the economy while improving outcomes for employees and their families would be worth the effort.”
NPR’s Scott Hensley tells Morning Edition there is precedent for the case of a non-health care company wading into the health care business – “In fact, it has happened repeatedly.”
“One of the most prominent examples is what is now Kaiser Permanente, a big provider of health care in this country. It started with the Kaiser shipyards and providing, first, workers comp kind of care and, later, more integrated health care for employees,” Scott explains.
Details such as the company’s name, base of operations and long-term leadership weren’t included in a joint news release about the new company that was sent out Tuesday morning.
At the start, the new company will be led by executives from each of the troika of giant firms: Marvelle Sullivan Berchtold, a managing director of JPMorgan Chase; Todd Combs, an investment officer of Berkshire Hathaway; and Beth Galetti, a senior vice president at Amazon.

The orginal article.