Elevance Health is one of the largest health insurers in the U.S., serving approximately 45.2 million medical members across commercial, Medicaid, Medicare Advantage, and Federal Employee Program markets. Elevance is an independent licensee of the Blue Cross Blue Shield Association, operating under the Anthem Blue Cross and Blue Shield brands in 14 states. The core business collects fixed premiums and bears the risk that medical costs exceed those premiums — the spread between premium revenue and medical costs is the primary profit driver. Elevance also administers self-funded employer plans, earning per-member fees while the employer bears insurance risk. Beyond the core health plan, Elevance operates two growing services businesses under the Carelon brand: CarelonRx, a pharmacy benefit manager offering home delivery, specialty pharmacy, and claims adjudication; and Carelon Services, which provides behavioral health management, post-acute care management, and home-based care. Both Carelon businesses serve Elevance's own health plans and increasingly sell to external health plan clients. Elevance's growth strategy centers on expanding Carelon as an independent revenue source while optimizing its government health plan portfolio — exiting unprofitable Medicare Advantage geographies and working with states to achieve adequate Medicaid rates. Medicaid and Medicare Advantage have driven margin compression in 2024-2025, and management targets a return to at least 12% annual adjusted EPS growth beginning in 2027.