EP217: A CFO’s Take on Health Insurance, With Steve Watson, CFO and Founder of Summit Path Group
February 28, 2019
217
35:18

EP217: A CFO’s Take on Health Insurance, With Steve Watson, CFO and Founder of Summit Path Group

Steve Watson, CPA, SHRM-SCP
As a CFO/CHRO, Steve was frustrated each year with rising health care costs for his employer and employees. In 2012, he decided to make a change. First, he decided to fix the misaligned incentive that he had with his broker. Then he and his broker moved on to fixing the way his insurance was purchased from the insurance carriers. Now Steve is sharing this process with other employers through his consulting company Summit Path Group, whose mission is to lower employee benefit costs by sharing best practices from around the country with local employers and advisers.


01:57 The biggest ways that spiraling costs negatively affect companies.
02:49 How long does it take prices to double?
04:56 “On the ground level with mid-sized employers, we don’t know how to move the lever.”
05:50 Higher premiums = more commissions?
07:50 Steve’s advice for employers.
10:02 Why don’t employers dig into health care more?
11:28 “There are ways to set up a self-funded plan that have less risks than a fully insured plan.”
12:44 “[As] employers, we need to start [doing things] from our perspective, too.”
13:10 Steve’s advice to a CFO to demand claims.
15:31 When CFOs should begin their analysis of their insurance plans.
16:04 “I would … look at it as a 3- to 5-year plan and how [to] step along.”
20:04 The first question Steve asks CFOs.
24:37 Setting up a plan that’s best for the company.
27:20 Accessing unbiased information by being aware of misaligned incentives.
31:33 “At the heart of health care is the interaction between the patient and the doctor.”
33:23 For more information on direct primary care, listen to EP184 with Alex Lickerman, EP198 with Eric Parmenter, and EP215 with Caroline Znaniec.

 

healthcare,pharma,summit path group,health insurance,cfo,misaligned incentives,
|
|

Episode Support Provided By

Special Thanks to Our 2026 Sustaining Monthly Donors

Marilyn Bartlett, Kimberly Carleson, Dylan Yahn, Benjamin Light, Matt McQuide, Ann Kempski, Spencer Allen, Scott Tromanhauser, Steven Elkins, Matthew Bunte, Lori Smith, Dr. Scott Conard, Vivian Ho and Casey Cormier

Recent Episodes

EP537: Physicians as the Sleeping Giant—Why Many Doctors Don't Push Back and Some Advice, With Benjamin Schwartz, MD, MBA
Relentless Health ValueNovember 11, 2026
537
35:1932.33 MB

EP537: Physicians as the Sleeping Giant—Why Many Doctors Don't Push Back and Some Advice, With Benjamin Schwartz, MD, MBA

Listen on Your Favorite App Benjamin Schwartz, MD, MBA: You got to start kinda nudging the giant. And I think from the physician standpoint, that is … the simplest thing is just educate yourself, understand what's going on, take an interest in it, and that's how you start. And then you go from there...

EP536: Operationalizing the Architecture of Primary Care Patient Experience, With Rebecca Andrews, MD
Relentless Health ValueNovember 04, 2026
536
37:5134.64 MB

EP536: Operationalizing the Architecture of Primary Care Patient Experience, With Rebecca Andrews, MD

Listen On Your Favorite App Stacey: If you are a plan sponsor thinking about, for example, primary care as a way to optimize healthcare spend, do know that any given plan sponsor will really only get maximum possible benefit from an investment in primary care, advanced primary care, when and only wh...

EP535: When Patient Experience Means Parking and Pianos, Plan Sponsors Pay for Hotels, Not Outcomes—What to Measure Instead, With Robyn Leone
Relentless Health ValueOctober 28, 2026
535
37:1834.15 MB

EP535: When Patient Experience Means Parking and Pianos, Plan Sponsors Pay for Hotels, Not Outcomes—What to Measure Instead, With Robyn Leone

LIsten on Your Favorite App On episode 532 a few weeks ago, Chris Klomp from HHS was talking about ER (emergency room) usage as a signal, not just a statistic. If too many folks show up in the ER, consider this a signal that there's something missing. It means a patient who doesn't have access to pr...

EP534: The One Question to Test if a TPA Is Actually Independent, With Kimberly Carleson
Relentless Health ValueOctober 21, 202608:538.13 MB

EP534: The One Question to Test if a TPA Is Actually Independent, With Kimberly Carleson

Listen On Your Favorite App Here's a question I have heard more than once: What is a practical, speedy way to assess whether a TPA (third-party administrator) is truly independent and willing to protect the plan's interests, this plan sponsor's interests, versus being captive to, for example, networ...

EP533: Level Funding Is Self-funding: 5 Avoidable Contract Risks, With Frank Pennachio
Relentless Health ValueOctober 14, 2026
533
37:1334.07 MB

EP533: Level Funding Is Self-funding: 5 Avoidable Contract Risks, With Frank Pennachio

Hello, all you Relentless Tribe members. Thanks for hanging with me today to talk about a bunch of things. One of them being what exactly are level-funded plans, and what are the upsides, and then what are the risks? Because here's the thing. I was talking to an employer the other day, an employer w...

EP532: Why Avoidable ER Visits Aren't the Real Cost Problem: Revisiting Our 2016 Interview With HHS Nominee Chris Klomp
Relentless Health ValueOctober 07, 2026
532
37:2034.17 MB

EP532: Why Avoidable ER Visits Aren't the Real Cost Problem: Revisiting Our 2016 Interview With HHS Nominee Chris Klomp

Listen on Your Favorite App Today we are dipping into the archives for an essential replay from 2016, one decade ago, featuring Chris Klomp back when he served as CEO of a company called Collective Medical. With the nomination of Chris Klomp to serve as deputy secretary of the Department of Health a...

EP531: Slaying the Three-Headed Monster of Health Plan Networks, With Evan Anderson
Relentless Health ValueSeptember 30, 2026
531
38:0634.88 MB

EP531: Slaying the Three-Headed Monster of Health Plan Networks, With Evan Anderson

Listen on Your Favorite App Today, Evan Anderson and I are talking about carrier networks, how they started, how it's going. Because irrespective of whatever the plan was at the very beginning, any given network, especially talking about the big status quo networks, has evolved into what I'll call a...

Listen and Follow

Sponsored by Aventria Health Group
©2026 BD Bridges LLC. All Rights Reserved.