Optum Virtual Care, a telehealth business owned by UnitedHealth Group, has been shut down. The closure was announced to employees on Thursday, with some being told that their last day would be in July. Despite the shutdown, the company is committed to providing patients with a wide network of providers for virtual urgent, primary, and specialty care options.
Virtual care is an integral part of UnitedHealth Group’s comprehensive care delivery model. The company emphasizes that it offers round-the-clock care through virtual visits with board-certified physicians and nationally certified nurse practitioners in all 50 states. However, despite its commitment to telehealth, the decline in telehealth usage has been observed in 2022 and 2023.
In 2022, PYMNTS Intelligence reported that consumer participation in telehealth had stabilized between 30% and 40%, with that percentage engaging in monthly telemedicine appointments. Similarly, Amwell also noted a dip in telehealth usage in 2023, with 1.6 million visits in the fourth quarter compared to 1.7 million in the same quarter in 2022. The decline was attributed to various factors such as a milder flu season and the absence of the early and severe flu season from the previous year.
UnitedHealth Group has stated that it will support affected team members with job placement resources and try to deploy them in open roles within the company. While this may be a positive step towards supporting its employees, it does not change the fact that virtual care usage has declined over time due to various factors beyond UnitedHealth Group’s control.
