Oak Street Health

Oak Street Health

Oak Street Health was founded in 2012 in Chicago and has grown into a nationwide network of primary care centers for Medicare beneficiaries. The company was acquired by CVS Health in 2023 in a deal valued at approximately $10.6 billion. Its care model centers on capitated payments from Medicare Advantage plans, which incentivize keeping patients healthy and reducing hospital admissions. Services include routine checkups, chronic disease management, and coordinated specialist referrals. Oak Street Health's integrated teams include physicians, nurses, and patient relations managers who also help patients navigate insurance benefits. Centers offer community rooms for education and social events, and some house on-site pharmacies. The company operates in over 25 states including Alabama, Arizona, Arkansas, Colorado, Connecticut, Georgia, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Michigan, Mississippi, Missouri, New Jersey, New Mexico, New York, North Carolina, Ohio, Oklahoma, Pennsylvania, Rhode Island, South Carolina, Tennessee, Texas, and Virginia. It was selected by AARP as a trusted primary care provider for Medicare patients. Oak Street Health's structural differentiator is its pure focus on value-based primary care for the older adult Medicare population, a high-need group with complex chronic conditions. Its alignment with CVS Health provides access to the pharmacy chain's extensive retail footprint and care coordination resources, enabling a population health approach that few independent primary care chains can match.