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PA Hospitals Mull Health Plan Launch

Margaret Dick Tocknell, for HealthLeaders Media, July 31, 2013

A trio of health systems say they will jointly manage the healthcare benefit plans for an estimated 32,000 employees and dependents. "This is a starting point," says one CEO.

Three independent Philadelphia-area health systems are forming an initiative that could lead to the development of a new health plan. The move reflects the changing healthcare landscape where the ability to scale will be critical, value will trump volume in patient care, and providers will be expected to be more engaged in risk taking.

The initiative, which was 18 months in the making, is one of the first of its kind in the Philadelphia region, although a similar organization has been formed in Georgia where 23 hospitals announced last week that they had formed an alliance.


See Also: North Shore-LIJ Health System to Launch a Health Plan


"We believe we need to be positioned to take risk by creating the infrastructure and access points that will enable us to enroll larger populations than any of us do now," says Barry R. Freedman, president and CEO of Einstein Healthcare Network, an integrated delivery network that is part of the initiative.

Along with Einstein, Abington Health and Aria Health will work together initially to jointly manage the healthcare benefit plans for an estimated 32,000 employees and dependents. That effort, which will include a common information system, is expected to be up and running by July 2014.

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