Office automation and equipments major
) recently announced that it has forged an alliance with CHOICE
Administrators Exchange Solutions for providing broad and secure
cloud-based Health Insurance Exchange (HIX) solution. The alliance
will be offering the service across 50 states.
CHOICE will provide the framework of the HIX Solution Suite, a
could-based platform that helps participants in making informed
enrollment decisions and also provides their sponsoring employers
the means of maintaining affordable budgets. Xerox will deliver
business process and technology solutions to the states for
handling large quantities of information in a swift, secure and
States across the U.S. can initiate the implementation and
customization of the solution with immediate effect so that the HIX
can be up and running for enrollments in October 2013 and for
January 2014 coverage effective dates. This timeline is in
accordance with the cut-off dates set by the Patient Protection and
Affordable Care Act.
Discussions with the states revealed that most of them wanted to
have maximum autonomy over health reforms, wishing to retain
control over their HIX rather than concede to the federal solution.
This is where Xerox and CHOICE will come in handy since their
solution will help the states save time as the certification
Moreover, the states would be freed of the labor to build a
product from the scratch and the solution developed by Xerox and
CHOICE will instead enable them to focus on customization. The
states can modify the HIX solution as per the requirements of their
residents and small businesses.
Xerox has been working with state governments for over four
decades now. Thus, the company has a sound knowledge of the
dynamics of the health care market and its association with CHOICE
will help it further to implement the HIX design.
We currently have a long-term Neutral recommendation on Xerox.
The company, which competes with
), maintains a Zacks #3 Rank, which translates into a short-term (1
to 3 months) Hold rating.
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