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2026 BEST IN KLAS
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Employer-Sponsored Healthcare Services 2024
A Market Impacted by Many Movements
Author
Daniel Zeitner
Author
Ruirui Sun
Author
Sam Eaquinto
Employers (private and public) and unions are increasingly experiencing challenges with highly variable healthcare costs and their employees’ ability to access timely, quality care. As a result, many are turning to firms that help provide a wide range of healthcare services directly to employees, either on-site or near-site. Additionally, energy is high in this market due to several recent mergers and acquisitions, which have the potential to drastically shift market share and client experience over time. To help employers and unions navigate this space, this report examines the overall employer-sponsored healthcare services market, including client satisfaction, how acquisitions are changing the market, how firms help clients realize value, and which healthcare services are being offered.
Client needs in this space may differ greatly, so employers and unions need to know what is important when looking for a firm. Last year, KLAS published the Purchasing Guide for Selecting an On-Site or Near-Site Health Center Manager to outline what factors prospective clients should consider when making a purchase decision.
Marathon Health & Premise Health See Market Share Growth through Acquisition; Clients Highlight Marathon Health for Their Time Spent with Patients
Marathon Health—a multiyear Best in KLAS winner for employer-sponsored healthcare services—has large market share, mainly grown through acquisitions. They most recently announced the acquisition of Everside Health and Oracle Health’s employer-sponsored healthcare services (see next paragraph), and in 2020, they merged with OurHealth. All interviewed Marathon Health clients would contract with the firm again, reporting high satisfaction due to strong relationships, high-quality physicians, improved control over chronic conditions through wellness coaching, and strong marketing of healthcare services. Culture is an important consideration for clients and their employees, and some respondents describe Marathon Health’s service and culture as high end. For example, respondents highlight how much time the physicians spend with patients, noting that the physicians go above and beyond; because of the strong care provided, many employees choose Marathon Health physicians over other primary care options. However, a few respondents’ employees are not as comfortable with the high-touch nature of the services, feeling the frequency is unnecessary. Overall, some respondents have concerns about scalability and recent turnover, noting how representatives now provide less of a personal touch. Premise Health has the largest market presence of measured firms and has many large clients. They have also grown their business through multiple acquisitions (e.g., CareHere, Sonic Boom). Some respondents have strong, long-term relationships with clinicians—this stability has enhanced the client-firm relationship. A few report decreased satisfaction after acquisitions, citing less responsiveness and issues (e.g., delayed campaigns, closed locations, unavailable appointment times) not being resolved in a timely manner.
Marathon Health Recently Acquired Oracle Health’s* Employer-Sponsored Healthcare Services & Everside Health | Clients of Oracle Health and Everside Health have undergone multiple acquisitions in this market, and these firms’ employer-sponsored healthcare services were both recently acquired by Marathon Health. Clients of Oracle Health’s* employer-sponsored healthcare services underwent a transitional period in late 2021 after Cerner was acquired, with many reporting less communication. Early feedback on the Marathon Health acquisition (announced in August 2023) includes one respondent reporting a smooth transition. In February 2024, Everside Health was acquired by Marathon Health, and it is too early to know the impact on client satisfaction. Generally, respondents highlight the firm’s strong relationships and CSMs, and several report improved referral processes, vaccination rates, and capturing of chronic conditions. A few mention staff turnover (especially after the Healthstat acquisition in 2020), resulting in less marketing and fewer care providers. While data on these acquisitions is early, previous KLAS research on how M&A activity affects client satisfaction shows that vendor vulnerability for replacement increases after transitions, with 36% of respondents noting significant changes in satisfaction (either positive or negative). KLAS will continue to monitor client experiences as both firms transition.
*Limited data
Proactive MD Excels at Reducing Costs & Improving Patient Health
The main reasons an employer or union may choose an on-site or near-site health services model are to (1) reduce the cost of healthcare and/or (2) improve employee health overall. Of the firms in this report, Proactive MD is rated highest for impacting both of these areas. Interviewed employers have realized cost savings and appreciate the firm’s monthly utilization reports. Several respondents comment on the high quality of the providers, which leads to increased usage of the services and, thus, better value. A few mention challenges with clinical staff turnover, which has negatively impacted employee access to the services.
QuadMed Respondents Highlight Improvements Due to Investments in People & Processes
QuadMed has a long-standing history in the industry, and between 2021 and 2022, client satisfaction markedly increased as the firm made efforts to hire quality staff and build internal processes to meet client needs more quickly. Respondents highly value QuadMed’s strength of partnership and relationship, saying the firm is very communicative, receptive, and collaborative and is very engaged with on-site events that promote usage of the services. QuadMed is noted for providing regular reports to demonstrate the value of the services, but respondents would like to see the firm more effectively promote usage and, thus, positively impact employee health. A few clients also mention issues with staffing turnover.
Early Data on Other Measured Firms | Interviewed clients of Crossover Health* say the firm provides high-quality healthcare services and professional clinicians. A few respondents perceive the firm’s services as expensive. Clients of WeCare tlc* feel the firm is responsive to requests; some note that it takes time to build a good relationship with the firm. See the Employer-Sponsored Healthcare Services Vendor Guide 2022 for information on firm-reported services, including additional firms not currently measured by KLAS.
*Limited data
Clients Most Often Contract for Primary Care & Telehealth; ROI Is Often Determined by Successful Marketing & Education
Employers and unions most often report contracting for primary care and telehealth services, and fewer report contracting for behavioral health, pharmacy, and occupational health services. However, this does not necessarily represent employee usage, which can be an important indicator of ROI for clients in this market. If employees don’t take advantage of the services offered, the firm-employer partnership won’t be financially viable to continue. Sometimes, there are cultural barriers preventing usage, such as privacy concerns, apathy toward seeking out healthcare, or misalignment with employee needs. Another significant barrier is the lack of employee knowledge that the services exist; firms as well as clients need to align themselves in providing education and marketing efforts to alleviate these concerns and ultimately provide a sustainable service as time goes on.
“To be successful, people need to work with their employees and educate them on why using a clinic is beneficial for them, especially if they have a health savings account. Clients of the firm should stress that the clinic is at no cost to their employees and that using it can save them money.” —Vice president
About This Report
Each year, KLAS interviews thousands of healthcare professionals about the IT solutions and services their organizations use. For this report, interviews were conducted over the last 18 months using KLAS’ standard quantitative evaluation for healthcare services, which is composed of 9 numeric ratings questions and 3 yes/no questions, all weighted equally. Combined, the ratings for these questions make up the overall performance score, which is measured on a 100-point scale. The questions are organized into five customer experience pillars—loyalty, operations, relationship, services, and value.
To supplement the client satisfaction data gathered with the standard evaluation, KLAS asked interviewed healthcare organizations the following supplemental questions specific to employer-sponsored healthcare services:
- How effectively does your firm encourage and facilitate usage of the health services they provide?
- What impact has this firm had on improving the health of your employees?
- What impact has this firm had on reducing your healthcare costs?
Sample Sizes
Unless otherwise noted, sample sizes displayed throughout this report (e.g., n=16) represent the total number of unique customer organizations interviewed for a given vendor or solution. However, it should be noted that to allow for the representation of differing perspectives within any one customer organization, samples may include surveys from different individuals at the same organization. The table below shows the total number of unique organizations interviewed for each vendor or solution as well as the total number of individual respondents.
Some respondents choose not to answer particular questions, meaning the sample size for any given vendor or solution can change from question to question. When the number of unique organization responses for a particular question is less than 6, the score for that question is marked with an asterisk (*) or otherwise designated as “limited data.” If the sample size is less than 3, no score is shown. Where textual content relies on limited data, the firm name is marked with an asterisk. Note that when a firm has a low number of reporting sites, the possibility exists for KLAS scores to change significantly as new surveys are collected.
Writer
Carlisa Cramer
Designer
Natalie Jamison
Project Manager
Andrew Wright
This material is copyrighted. Any organization gaining unauthorized access to this report will be liable to compensate KLAS for the full retail price. Please see the KLAS DATA USE POLICY for information regarding use of this report. © 2026 KLAS Research, LLC. All Rights Reserved. NOTE: Performance scores may change significantly when including newly interviewed provider organizations, especially when added to a smaller sample size like in emerging markets with a small number of live clients. The findings presented are not meant to be conclusive data for an entire client base.