Walmart’s employee insurance will soon cover fertility treatments

Lily Jamali Sep 29, 2022
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The retail giant's move to include fertility benefits is an indicator of how companies are trying to retain employees. Robyn Beck/AFP via Getty Images

Walmart’s employee insurance will soon cover fertility treatments

Lily Jamali Sep 29, 2022
Heard on:
The retail giant's move to include fertility benefits is an indicator of how companies are trying to retain employees. Robyn Beck/AFP via Getty Images
HTML EMBED:
COPY

Walmart announced this week it will start covering fertility treatments as a benefit for employees.

It’s partnering with a startup called Kindbody, offering workers access to more than 30 clinics across the country. As fertility treatments can be fairly expensive – the fact that the nation’s largest private employer is stepping forward to offer them may help make them an option for many more people, not just those who can already afford them. 

Walmart’s decision to offer fertility benefits shows just how hard companies are trying to retain and attract employees during a historic labor shortage, said Andy Challenger of outplacement firm Challenger, Gray & Christmas.

“They’re getting creative with ways they’re luring people into their organizations,” he said.

And other large corporations are paying attention, said Lindsay Bower of the consulting firm Mercer.

“I think it’s going to really push some employers that may have limited or no fertility benefits in place today to at least start to consider the needs of their employees, and how they may start to meet those needs

Bower said some companies also see it as a push towards more equity and inclusivity.

Because up until now, for a lot of people, IVF – along with adoption and surrogacy, which Walmart will also help cover – were out of reach, said Kindbody CEO Gina Bartasi.

“Historically, fertility has been for a very privileged few. And we think morally, that there’s something wrong with that,” she said.

Bartasi said by standardizing care, Kindbody can bring costs down by as much as 25% to 30% for large employers.

But Theodore Joyce, professor of economics at Baruch College, wonders what the benefits really pay for.

“How much is laid out to the employee that this is what Walmart will cover; this is what Kindbody will provide and you are liable for XYZ should something happen,” he said.

With adoption and surrogacy services, for example, Walmart said it will cover the first $20,000 but told Marketplace in an email that any expenses beyond that will not be eligible for reimbursement. 

The Commonwealth Fund’s Dr. Laurie Zephyrin, said it’s key to understand who is actually able to access these benefits as they are rolled out.

“One needs to incorporate and understand the equity impacts – making sure that it’s reaching the people that it’s intended to serve” – and make changes, if not.

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