Skip to main content

Ascension Health Subsidiary to Buy Insurer for $50M

By John Commins  
   February 24, 2015

"US Health and Life is a very small player—$67.6 million in 2013 revenues, 18,600 insured enrollees in 2014. The $50 million cash purchase price seems high, but maybe this is an acquisition where the value of the insurer is in its license in MI, WI, OH, IL and some other states where Ascension has major hospital holdings and is looking to offer its providers to self-funded employer groups or maybe get into commercial business."

Baumgarten says Ascension's joint network with Trinity Health in Michigan has an ACO-like arrangement with Blue Care Network in Michigan for its Michigan Medicare Advantage plans.

While the deal likely will clear regulatory hurdles, Baumgarten says "a possible snare going forward is that insurers start to look at Ascension as less of a provider partner and more of an insurer competitor."

CHC to Operate Jellico (TN) Community Hospital
Jellico Community Hospital, a 54-bed acute-care hospital in Jellico, TN, and its CarePlus Center, in Williamsburg, KY, on May 1 will enter into a new management relationship with Community Hospital Corporation, according to a joint media release.

Financial terms were not disclosed.

"We share JCH's compassion and mission 'to provide more than quality healthcare'," Mike Williams, CHC president/CEO said in prepared remarks. "Throughout our due diligence process, we've been very impressed with the quality of JCH physicians and employees and their commitment to providing excellent healthcare to this community." 

John Commins is a content specialist and online news editor for HealthLeaders, a Simplify Compliance brand.

Tagged Under:


Get the latest on healthcare leadership in your inbox.