Jefferson Well being paid $305 million for Temple College Well being System’s 50% possession stake in Well being Companions Plans, the not-for-profit well being system introduced Monday.
Philadelphia-based Jefferson Well being now owns all of a well being plan that covers practically 290,000 Medicare Benefit, Medicaid, Medicare-Medicare dual-eligible Particular Wants Plan, and Kids’s Well being Insurance coverage Program beneficiaries. Temple College Well being System will proceed to take part in Companions Well being Plans’ community.
Jefferson Well being obtained 25% of Well being Companions Plans when it acquired the Aria Well being system in 2016 and one other 25% when it merged with Einstein Healthcare Network final month. The corporate shaped a digital health alliance with personal fairness agency Basic Catalyst in October and established a social determinants of health partnership with Novartis Prescribed drugs in September.
These offers give Jefferson Well being scale that may allow it to enhance care and cut back prices for the Philadelphia space’s underserved sufferers, stated Dr. Stephen Klasko, CEO of Jefferson Well being and president of Thomas Jefferson College.
“We have to align the payer and supplier, particularly with government-related companies,” stated Klakso, who plans to step down on the finish of the yr. “There isn’t any approach of being a fantastic, built-in system with a big quantity of fragmentation.”
Authorities payers accounted for about 70% of Einstein Healthcare Community’s income in 2020, together with important Medicare Benefit enterprise. The Medicare Benefit demographic represents a significant growth opportunity, stated Klakso.
Jefferson Well being’s Novartis partnership goals to shut care gaps amongst cardiovascular sufferers in 5 high-risk Philadelphia zip codes. The Basic Catalyst alliance is a part of the well being programs’ efforts to increase operations together with hospital-at-home, telehealth and value-based care.
“I occur to stay in considered one of poorest cities within the nation. We’ve 5 tutorial medical facilities however one of many biggest life-expectancy discrepancies within the nation,” Klakso stated.
In Could, Thomas Jefferson College scrapped plans to acquire Temple College’ Well being System’s Fox Chase Most cancers Heart, blaming monetary pressures from the COVID-19 pandemic.
Jefferson Well being reported $5.9 million in working earnings for the fiscal yr that ended June 30, which included a one-time goodwill impairment cost, after recording a $459.4 million working loss in 2020, based on its unaudited annual monetary assertion. The well being system had $5.66 billion in annual income in 2021, up from $5.27 billion final yr.
