Alan wins Social Security health contract worth up to €3bn

French health insurance startup Alan has been chosen, alongside German insurer Allianz, to provide supplementary health cover for Social Security employees in France. Several internal sources said so on Wednesday, confirming an earlier report by Les Échos.

The contract covers the 150,000 employees of the Social Security system, including staff at Urssaf, health insurance funds and family allowance funds, as well as their dependants and former employees. In total, 360,000 people are covered. The deal is worth an estimated maximum of €3 billion over six years, from 2027 to 2032.

Ucanss, the body representing the employer, neither confirmed nor denied the news. It said the contract has not yet been officially notified and will be within 15 days.

An unusual procedure, fiercely contested

The contract, created in 2008, was previously held by AG2R La Mondiale, Malakoff Humanis and Aésio. It was traditionally awarded by a steering committee of employer representatives and the main unions: CFDT, CGT, FO, CFTC, CFE-CGC and Unsa.

This time, Ucanss launched a public tender, following advice from Bercy's legal departments and against the wishes of the social partners. Four candidates took part, Alan among them. Unions and employer organisations helped draft the specifications, then were asked to validate the final ranking and the winner in a procurement committee. They unanimously refused to award the contract to Alan, questioning how the bids were evaluated.

The six unions also criticise Alan's fully digital model. In a joint statement they point to the lack of real physical branches, the use of subcontracting and data hosting with Amazon, which they say exposes the data to extraterritorial US laws.

Government steps in

To break the deadlock, the government issued an order on 19 October suspending the procurement committee's powers and appointing an interim administrator. According to internal sources, she has now ruled in Alan's favour. Unions have boycotted social dialogue at Ucanss since mid-October.

CGT representative Cécile Velasquez denounced a political choice to bring the "start-up nation" into the Social Security system, and a complete disregard for the social partners. Alan declined to comment, and the Health Ministry did not respond.