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Confidential — Prepared February 2026

McLaren Health PlanStellar Health

Strategic Partnership Intelligence Brief — actionable insights, stakeholder mapping, and competitive positioning for account penetration.

◆ $7.3B Health System ◆ 600K+ Lives Under Management ◆ Critical Inflection Point
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The Opportunity Window

Five converging pressures create an unprecedented opening. McLaren is at an inflection point — new leadership, financial stress, and regulatory deadlines demand action now.

Critical

New CEO Evaluating Everything

Jessica Cromer started Dec 1, 2024 as President & CEO of McLaren Integrated HMO Group (600K+ lives). She replaced a 25-year incumbent and is explicitly focused on "consistency in processes, efficiency in work." Background in Medicaid turnarounds — execution-oriented leader actively reshaping vendor relationships.

90 Days In
Critical — Financial

ACO Posts First-Ever Loss

McLaren High Performance Network ACO exceeded its CMS benchmark by $10M in PY 2024 — first loss in 7-year history. Previously ranked 6th best ACO nationally ($37.1M savings in 2019). Now owes CMS $3M repayment and is actively restructuring: removed high-cost provider TINs, joined Premier Collaborative.

-$10M
Critical — Quality

3.0 Star Rating — Below Bonus

Medicare Advantage contract H6322 scored 3.0 stars for 2026. National average: 3.66. Michigan average: 3.9. Below the 4.0 threshold for CMS quality bonus payments (up to 5%). Translates to millions in lost revenue annually. Every half-star improvement has massive financial impact.

3.0 ★
Pressure — Security

$14M Data Breach Settlement

Two ransomware attacks in consecutive years (ALPHV/BlackCat 2023, Inc Ransom 2024) affecting 2.8M people. Settlement includes mandatory 2+ years of enhanced security. Claims deadline: April 29, 2026. Any vendor with HITRUST/SOC2 has automatic procurement advantage.

$14M
Market Gap

Missed MI Coordinated Health

McLaren was NOT selected for Michigan's new dual-eligible (D-SNP) program launching 2026. Competitors Aetna, Humana, Meridian, Molina, Priority Health, and UHC were all selected. This is a missed growth opportunity — a sore point internally that signals capability gaps in complex population management.

Not Selected

McLaren Pain Points → Stellar Solutions

Click any row to reveal how Stellar directly addresses each challenge with proven results.

3.0 Star Rating

Below the 4.0 bonus threshold. Missing millions in CMS quality bonus payments. Nearly a full star below Michigan's 3.9 average. Quality gap widening against competitors.

Stellar Star Improvement

Stellar's platform drives measurable quality improvement through point-of-care gap closure, provider incentive alignment, and real-time HEDIS tracking across the entire network.

+0.5 Stars avg YoY improvement

ACO $10M Loss

First-ever loss after 7 years of savings. Cost management, utilization, and provider behavior patterns have deteriorated. Restructuring underway but no silver bullet identified.

shaco ACO: Proof of Model

Stellar's own ACO (shaco) saved Medicare $5M in its inaugural year with a 5.3% gross savings rate — exceeding the national ACO average of 4.7%. Ranked #1-3 across multiple quality measures.

$5M saved, 5.3% gross savings rate

V28 HCC Transition

2026 is 100% V28 risk scoring. HCC categories expanded from 86 to 115, but 2,027 ICD-10 codes were removed. Provider education and coding accuracy are urgent needs. Revenue erosion of 3-8% for unprepared plans.

HCC Coding at Point of Care

Stellar's in-workflow prompts guide providers through accurate HCC documentation during patient visits — not retrospective chart review. Actionable, real-time, audit-defensible.

+7% HCC coding capture increase

Provider Engagement (2,200+)

Large network with variable performance. Current P4T incentives are modest ($25-$100/measure). Providers juggle multiple payor portals. Care team staff excluded from incentives. Behavioral change is slow.

Micro-Incentives for Everyone

Stellar's behavioral economics platform pays the ENTIRE care team (MDs, MAs, front desk) MONTHLY for each completed action. Single dashboard consolidates all payor contracts. No delayed gratification — immediate, transparent rewards.

400K+ actions/month, 94% CSAT

Low AWV Completion

Annual Wellness Visits are a cornerstone of Medicare quality and risk adjustment but consistently underperformed. McLaren's ACO recovery strategy lists AWV programs as a priority — indicating current completion rates are insufficient.

AWV Completion Engine

Stellar drives AWV scheduling and completion through automated prompts and direct financial incentives for the staff who schedule, prep, and complete visits. Works within existing workflows — no new systems to learn.

+11 percentage point AWV increase

Decision-Maker Map

Click any card to reveal recommended approach and talking points.

HMO Group CEO

Jessica Cromer

President & CEO, McLaren Integrated HMO Group
Started Dec 1, 2024. Replaced 25-year incumbent Kathy Kendall. Previously CEO of MDwise (Indiana). Led PA Medicaid turnaround at Amerigroup. Oversees 600K+ lives across MI & IN. Focus: "consistency in processes, efficiency in work."
Recommended Approach Lead with operational efficiency story. She's a turnaround specialist — show how Stellar consolidates fragmented VBC programs into one platform. Reference the ACO loss as a solvable problem. Emphasize performance-based model (no upfront capital risk). Her MDwise background means she understands Medicaid complexity — position Stellar's multi-line-of-business capability.
MHP CEO

Nancy Jenkins

President & CEO, McLaren Health Plan
41 years in health insurance/managed care. Former HAP President & CEO. AHIP Managed Care Executive certification. Kellogg Executive Leadership graduate. Personal focus: health equity and health disparities.
Recommended Approach Lead with health equity angle — Stellar's platform reaches ALL providers in the network, including safety-net and rural practices, with inclusive incentives (front desk, MAs, not just physicians). Stellar's NCQA Health Equity alignment and race/ethnicity stratification capabilities map to her priorities.
VP Health Services

Mary Lynn Clark

VP, Health Services
Progressed from Supervisor to Director of Medical Management. Background in quality assurance at Trident Health System. Key clinical/quality operations contact. Oversees medical management and likely HEDIS/quality reporting.
Recommended Approach This is the operational buyer. Lead with specific HEDIS measure improvement data. Show the platform's ability to generate care gap reports, track measure-level performance, and drive gap closure at the provider level. The P4T program launching April 2026 is her initiative — Stellar supercharges it.
Physician Partners CEO

Gary Wenztloff

CEO, McLaren Physician Partners
Oversees 2,200+ providers managing 250K+ lives. Manages value-based contracts through McLaren High Performance Network ACO. Deployed Persivia CareSpace. Currently managing ACO restructuring after first-ever loss.
Recommended Approach Lead with provider engagement and ACO recovery. Stellar's Olympia Medical partnership in Michigan is directly relevant — same state, same provider engagement challenge. Position Stellar as the missing piece: Persivia provides analytics, Stellar provides the behavioral activation layer that turns insights into provider action.
CIO

Leigh Anderson

Chief Information Officer
Technology and IT strategy decisions. Oversees Oracle Health (Cerner) EHR integration, data platform architecture, and vendor technology assessments. Currently navigating post-breach security upgrades.
Recommended Approach Lead with implementation simplicity and security. Stellar is HITRUST CSF certified, HIPAA compliant, web-based with EHR integrations (Vim Connect, athenahealth). <90 days to first practice go-live. Doesn't require ripping out Persivia or Oracle — complementary layer. Post-breach, security credentials are paramount.

Current Vendor Ecosystem

Understanding who's already in the building — and where the gaps are.

Incumbent since 2019

Persivia CareSpace

Population Health Platform

Consolidates 30+ data streams. Replaced 5 point solutions. Used for care management, cost/utilization analytics, quality management. Integrates with Cerner + 20 ambulatory EHRs. Manages 200K+ lives.

EHR since 2015

Oracle Health (Cerner)

System-Wide EHR + Revenue Cycle

Selected 2015, deployed system-wide. Replaced McKesson & Allscripts. Note: Oracle Health has lost 57 acute care customers since 2022 acquisition — potential vulnerability and dissatisfaction signal.

Strategic Partner 2025

Premier Inc.

Population Health Collaborative + Research

ACO joined PHMC after 2024 loss. Also have PINC AI clinical research collaboration (March 2024). Strategic, not tactical — focuses on benchmarking and best practices, not provider-level activation.

New — Feb 2026

Bunkerhill Health

AI Cardiovascular Screening

First in Michigan, one of five nationally. FDA-cleared algorithms for incidental cardiac findings. 40K+ patients/year. Signals: McLaren leadership is willing to adopt innovative technology partners.

Stellar's Positioning Strategy

  • Complement, don't compete with Persivia. Persivia provides population-level analytics and data aggregation. Stellar provides the point-of-care activation layer — translating Persivia's insights into provider actions with immediate incentives.
  • Premier is strategic; Stellar is tactical. Premier benchmarks and advises. Stellar delivers the behavioral infrastructure that makes Premier's recommendations actionable at the provider level.
  • Bunkerhill proves innovation appetite. McLaren just adopted an AI startup (Feb 2026). They're open to best-of-breed technology partners. Use Bunkerhill as a reference point for Stellar's innovative approach.
  • Oracle Health fatigue is an opening. 57 lost customers since acquisition. If McLaren is experiencing any dissatisfaction, a lightweight, web-based platform that doesn't require deep EHR integration resonates.
  • Michigan presence matters. Stellar's Olympia Medical partnership (130+ practices, 320 providers in Novi, MI) proves Michigan market commitment and local execution capability.

Industry Tailwinds

Macro forces that make the case for Stellar inevitable — not just advantageous.

V28 at 100% — Revenue at Risk

2026 is the first year of full V28 risk scoring. 2,027 ICD-10 codes removed. Unprepared plans face 3-8% risk score decline. Proper coding and documentation are now existential, not optional.

3-8% revenue erosion if unprepared

OIG Audit Scrutiny Intensifying

42 of 44 managed care audits target coding accuracy. Recent refund recommendations: $4-7M per plan. OIG is comparing V24 vs V28 coding patterns for anomalies. Audit-defensible documentation is non-negotiable.

$4-7M refund recommendations

CMS: All Medicare in VBC by 2030

CMS goal of universal VBC creates a $500B+ addressable market. 14.3M people in ACOs as of Jan 2026 (up 4.4%). Plans without VBC infrastructure will be competitively disadvantaged. The window to build is now.

$500B+ addressable market

Michigan HIDE-SNP Launch

Michigan's dual-eligible program launching Jan 2026 in limited regions, statewide by 2027. McLaren was NOT selected for this round. Demonstrating complex population management capabilities now positions for future cycles.

Positioning for 2027 statewide

Prior Auth Reform (72hr / 7day)

Effective January 2026: 72-hour urgent / 7-day standard prior auth decisions. Plans without automation are non-compliant. Provider satisfaction directly tied to PA efficiency. $15B projected savings over 10 years.

January 2026 — live now
📈

AI in Healthcare is TABLE STAKES

Health plans shifting from "no AI" to platform strategies. AI enables 1 nurse per 200-300 patients (vs 50-75 traditionally). AI-native VBC companies scaling rapidly. McLaren just adopted Bunkerhill AI — appetite confirmed.

AI-native companies scaling 3x

McLaren at a Glance

The numbers that define the opportunity — and the urgency.

$0
Parent System Revenue
McLaren Health Care Corp
0
MHP Members
McLaren Health Plan
0
HMO Group Lives
Michigan + Indiana
0
MA Star Rating
Below 4.0 bonus threshold
$0
ACO Benchmark Overage
First loss in 7 years
$0
CMS Repayment Owed
PY 2024
0
Network Providers
McLaren Physician Partners
$0
Breach Settlement
2.8M individuals affected

Battle Cards

Click any card to flip and reveal the response. Prepare for these objections — they will come up.

Likely Objection

"We already have Persivia for population health."

Click to flip →
Your Response

Persivia is excellent for population-level analytics and data aggregation. Stellar doesn't replace Persivia — we activate it. Persivia identifies care gaps; Stellar puts them in front of the right provider at the right moment with immediate financial incentives. Think of it as the behavioral layer on top of your analytics layer. The ACO loss suggests the analytics alone aren't driving enough behavior change.

Analytics ≠ Activation. You need both.
Likely Objection

"We just joined the Premier Collaborative."

Click to flip →
Your Response

Premier provides strategic benchmarking, best practices, and actuarial support — invaluable for ACO governance. Stellar provides the tactical, provider-level execution engine. Premier tells you what to do; Stellar makes it happen at the point of care. Our clients who also participate in Premier collaboratives see the two as complementary — strategy + execution.

Premier = strategy. Stellar = execution.
Likely Objection

"Budget is tight after the ACO loss and breach settlement."

Click to flip →
Your Response

Stellar's model is performance-based — the health plan funds the provider incentive pool, and Stellar's fee is tied to outcomes achieved. This isn't a big-bang capital expenditure. And consider the cost of inaction: every year at 3.0 stars means millions in lost CMS quality bonuses. The $10M ACO overage grows if utilization patterns don't change. Stellar is an investment that pays for itself.

Performance-based. Cost of inaction > cost of action.
Likely Objection

"After two breaches, security is our #1 priority."

Click to flip →
Your Response

We understand — and we're built for this. Stellar is HITRUST CSF certified, HIPAA compliant, with encrypted data handling and enterprise-grade security architecture. We've gone through rigorous security assessments with some of the most security-conscious health plans in the country. Happy to share our HITRUST certification and go through your security review process at any stage.

HITRUST CSF Certified. HIPAA Compliant. Enterprise-grade.

Key Dates & Timeline

Mapping McLaren's milestones against Stellar's Michigan momentum.

December 2024

Jessica Cromer Starts as HMO Group CEO

New leader, new era. Replacing 25-year incumbent. Evaluation window is NOW.

January 2025

New 5-Year MSSP ACO Contract

McLaren begins new CMS contract period. Must show improvement from PY 2024 loss.

June 2025

Stellar + Olympia Medical in Michigan

Strategic alliance with 130+ practices, 320 providers in Novi, MI. Michigan market entry.

November 2025

shaco ACO Saves Medicare $5M

5.3% gross savings rate. #1-3 quality rankings. Proof that the Stellar model works at scale.

January 2026

BCN Contract Restructured

No gainsharing with BCBSM/BCN. Removed 25% withhold. VBC economics shifting.

April 2026

P4T Gaps in Care Reports Begin

McLaren starts monthly care gap reporting to providers. Stellar's platform does this natively.

2026

V28 Risk Adjustment at 100%

Full transition complete. No more V24 safety net. Coding accuracy = revenue.

Stellar Health Results

Real outcomes, real data. Everything you need to build the business case.

ACO Performance — 2024

shaco ACO: First-Year Results

$5.0M
Medicare Savings
5.3%
Gross Savings Rate
$2.45M
Shared Savings Earned

Ranked #1 in tobacco screening, #2 in statin therapy, #2 in timely care (CAHPS), #3 in provider communication (CAHPS), #7 in depression remission — out of 58 first-year ACOs nationally.

Platform Metrics — 2024

Network-Wide Performance

30M+
SVUs Earned
400K+
Monthly Actions
94%
Customer Satisfaction

Net Promoter Score of 75 — world-class. Providers actively choose to use the platform because it rewards them transparently, monthly, for the work they're already doing.

Case Study — Florida

Primary Care → Cigna Tier 1

11/15
Measures Improved
Tier 1
Cigna Status (First Time)

Fort Lauderdale practice achieved Cigna Tier 1 for the first time ever after 9 months on Stellar. Lower patient out-of-pocket costs + higher reimbursement for the practice.

Recognition

Industry Validation

KLAS
Point of Light 2023
HITRUST
CSF Certified

KLAS Research Emerging Technology Spotlight (2022) and Point of Light Award (2023). HITRUST CSF certified. Backed by General Atlantic, Point72 Ventures. Oak Street Health co-founders invested in Series B.

Michigan Presence

Olympia Medical Alliance

130+
Practices
320
Providers

Strategic alliance with Olympia Medical in Novi, MI. Founded by Dr. Randall Bickle. Independent physician organization serving the same Michigan market as McLaren. Proof of local execution.

Growth Trajectory — 2026

Expanding ACO Operations

2
ACOs in 2026
60K+
Lives Under ACO
3x
Medicare Growth

Transitioning shaco I to Enhanced Track (more risk, more reward). Launching shaco II. Network: 50+ medical groups, 750+ providers. Medicare population grew 3x+ in 2025.

🔒

Sales Resource Center

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Sales Resource Center

Curated materials for the McLaren Health Plan opportunity

Case Study

Florida Primary Care → Cigna Tier 1

How a Fort Lauderdale practice improved 11 of 15 quality measures and achieved Cigna Tier 1 status for the first time in 9 months on the Stellar platform.

View Case Study →
Platform Overview

The Stellar Health Platform

Comprehensive overview of the micro-incentive platform, behavioral economics approach, in-workflow delivery, and monthly payment model for care teams.

View Platform →
For Health Plans

Stellar Health for Payors

How Stellar helps health plans activate their provider networks, improve Star ratings, boost HEDIS performance, and achieve risk adjustment accuracy — all through point-of-care actions.

View Payor Solutions →
ACO Results

shaco ACO — First-Year Performance

Stellar's tech-enabled ACO saved Medicare $5.0M with a 5.3% gross savings rate. Top quality rankings across tobacco screening, statin therapy, and CAHPS measures.

View ACO Results →
Leadership Insights

CEO Michael Meng — Wharton Podcast

"Changing Primary Care Incentives" — Michael Meng discusses the behavioral economics behind Stellar, the incentive gap in VBC, and why monthly micro-payments change provider behavior.

Listen / Read →
Analyst Report

KLAS Research — Emerging Technology

KLAS Research recognized Stellar Health with an Emerging Technology Spotlight (2022) and Point of Light Award (2023) for outstanding customer experience and innovation in VBC enablement.

View KLAS Report →
Michigan Market

Olympia Medical Partnership

Strategic alliance with Olympia Medical — 130+ practices, 320 providers in Novi, MI. Proof of Michigan market execution and local provider engagement.

View Press Release →
Provider Solutions

Stellar Health for Providers

How the platform works from the provider perspective: in-workflow prompts, SVU earning potential, monthly payments, single dashboard across all payors. Use for provider-facing conversations.

View Provider Solutions →
Health Systems

Stellar for Health Systems & Networks

Network-wide visibility, corporate priority translation, provider engagement and retention — how Stellar helps health systems operationalize their VBC strategy at scale.

View Solutions →
EHR Integration

Vim Connect Partnership

Stellar chose Vim as its point-of-care connection platform, enabling in-EHR integration for next-generation VBC enablement. Deploy in <90 days.

View Integration →
Industry Thought Leadership

Incentive Reimbursement Landscape

Stellar's perspective on how thoughtful incentives will drive the changing landscape of provider reimbursement in value-based care.

Read Article →
Recent Partnership

CenterLight Healthcare (PACE)

Dec 2025 partnership with the largest nonprofit PACE program in the US. Demonstrates Stellar's capability with complex, elderly populations — relevant for McLaren's Medicare and dual-eligible ambitions.

View Press Release →