Wait. What? Isn’t Apple Watch little more than an over-priced iPhone accessory trinket? To some, perhaps. Don’t pay attention to those folks behind the green curtain. They can’t see the future and they have little understand of math. Apple Watch is a health device that can lower health insurance costs.
All In The Math
Insurance companies are all about math and have a good understanding of risk assessments. If you’re in good health, have good dietary and health habits, match the proper demographics, you can get lower health insurance premiums than others with less, ah, um, statistics.
Says who? In a roundabout way, health insurance giant Aetna, which has just launch a program to provide 50,000 of its employees with an Apple Watch, and plans to subsidize Watch for certain customers.
Say what what?
In other words, performance measured is performance improved, and Watch is developing into a health monitoring gadget, and good health benefits insurers more than bad health, and if Watch owners are a better risk than non-Watch owners, then guess who wants you to have an Apple Watch?
Apple. And Aetna.
For now, we don’t know how much of the Watch price tag Aetna will subsidize, but we do know the company is working with Apple to create health applications to benefit their customers. Why? Good health is more profitable than bad health. Those who pay attention to their health– and that includes Watch customers– are a better value and at less risk than customers who pay less attention to their health and don’t use Apple Watch.
It’s likely that someone at Aetna created a great spreadsheet and PowerPoint presentation which says the obvious. Promoting wellness is less expensive than paying to fix someone after they’re sick and broken. And, it’s likely Aetna is looking to the future when Apple Watch does more than track calories, exercise distance, GPS coordinates, and heart rate, but can also track blood oxygen and sugar levels, and blood pressure.
Apple will have more apps that help to gather such data from Watch, but insurance companies can see the writing on the wall, and such apps that can monitor health statistics and send the data back to Big Brother at the insurance company or the nearest medical clinic and your doctor will go a long way toward improving health, reducing insurance premiums and healthcare payouts, and improving the bottom line. The bottom line of Aetna, Apple, and our own personal health.
All that from Apple’s little Watch, which just months ago was considered a failure by so many technology writers and critics. The more things change, the more they stay the same. Watch, like iPhone in 2007, is here now, and will be around for many years, and like iPhone 7 today, will do even more in a few years than the original. Apple knows that. Now the insurance and healthcare industries knows it, too. You should know it, too.