Markets

Aon plc (AON) Unit Forms Alliance to Lower Medical Costs

An image of a quarterly report on a screen
Credit: Shutterstock photo

Alliance HealthCard of Florida, Inc, a unit of Aon Benefit Solutions, Inc., which is a wholly owned subsidiary of Aon PlcAON , recently entered into an agreement with mailmyprescriptions.com. Under the agreement, Alliance HealthCard will make mailmyprescriptions.com available to America's Health Care Plan/RX Plan Agency, Inc. ("AHCP"), a unit of National General Holdings Corp. NGHC .

Aon's relentless efforts to expand its capability and global footprint through tuck-in acquisitions in emerging markets have paved the way for long-term growth. In the fourth quarter, Aon not only completed the acquisition of Brazilian benefits brokerage and solutions provider, Admix, but also announced its decision to purchase Stroz Friedberg to integrate two of the world's most highly skilled teams focused on cyber risk mitigation. In the last one year, the shares of Aon have gained 33.5% compared with the Zacks categorized Insurance-Brokers industry's 37% increase. Nonetheless, we expect the company's impressive pipeline of acquisitions for the next year to raise optimism among the investors regarding the stock.

The latest agreement aims to make prescription pricing affordable to as many Americans as possible through innovative platforms. mailmyprescriptions.com is slated to offer group subscriptions to large organizations through which employers and other groups can offer employees or members access to transparent wholesale prescription medication pricing at no additional cost.

Around 56 million Americans are estimated to be paying out-of-pocket for prescription medications right now. Hence, access to mailmyprescriptions.com will open up a valuable savings option though reduced out-of-pocket medical expenses, particularly given the trend of rising health insurance premiums.

Zacks Rank and Stocks to Consider :

Aon presently has a Zacks Rank #3 (Hold).

Some better-ranked stocks from the insurance space are Radian Group Inc. RDN and James River Group Holdings, Ltd. JRVR . Both the stocks hold Zacks Rank #2 (Buy). You can see the complete list of today's Zacks #1 (Strong Buy) Rank stocks here.

Radian Group, one of the leading multi line insurers, delivered positive earnings surprises in three of the last four quarters with an average beat of 5.87%.

Multi line insurer James River Group also delivered positive earnings surprise in three of the last four quarters with an average beat of 3.60%.

The Best Place to Start Your Stock Search

Today, you are invited to download the full list of 220 Zacks Rank #1 "Strong Buy" stocks - absolutely free of charge. Since 1988, Zacks Rank #1 stocks have nearly tripled the market, with average gains of +26% per year. Plus, you can access the list of portfolio-killing Zacks Rank #5 "Strong Sells" and other private research. See these stocks free >>

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

Radian Group Inc. (RDN): Free Stock Analysis Report

Aon PLC (AON): Free Stock Analysis Report

James River Group Holdings, Ltd. (JRVR): Free Stock Analysis Report

National General Holdings Corp (NGHC): Free Stock Analysis Report

To read this article on Zacks.com click here.

Zacks Investment Research

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

In This Story

JRVR AON NGHC RDN

Other Topics

Stocks

Latest Markets Videos

    Zacks

    Zacks is the leading investment research firm focusing on stock research, analysis and recommendations. In 1978, our founder discovered the power of earnings estimate revisions to enable profitable investment decisions. Today, that discovery is still the heart of the Zacks Rank. A wealth of resources for individual investors is available at www.zacks.com.

    Learn More