Reading Health System, UPMC Health Plan announce joint venture
Reading Health System and UPMC Health Plan announced they have finalized an agreement to form a provider-payer joint venture.
Beginning January 1, 2017, this Reading-UPMC Health Plan enterprise will combine access to Reading Health System’s high-quality clinical care, expert providers, and advanced healthcare facilities with UPMC Health Plan’s experience, expertise and advanced analytics to improve the health of the community.
The new joint venture will offer a full line of health coverage and related services to individuals as well as employers and their employees in the Reading Health System service area.
Clint Matthews, President and CEO of Reading Health System, said, “We are delighted to partner with UPMC Health Plan, one of Pennsylvania’s strongest and most experienced healthcare insurers. This partnership will rely on value-based healthcare, enabling an increased number of residents and companies in the Berks County region to access Reading Health as an in-network provider, resulting in enhanced cost savings and superior health management.”
“By combining the unique strengths of the two organizations, the partnership will provide value-based payment models that improve health outcomes by merging clinical capabilities with population health and risk management strategies,” said Diane Holder, President and CEO UPMC Health Plan and UPMC Insurance Services Division. “We are pleased to offer our twenty years of experience as part of an integrated delivery and finance system with the valuable clinical expertise of Reading Health System. Our shared commitment to value, quality and access will offer savings and better outcomes for individuals and employers in the region.”
In January 2017, UPMC Health Plan will provide Third Party Administrator (TPA) and FSA Flexible Spending Account (FSA) administration services for Reading Health System’s employee benefits plan that services more than 11,000 individuals. Throughout 2017, the new partnership will strategically introduce a full spectrum of health insurance that includes Medicare Advantage, Administrative Services Only (ASO) for self-insured employers, Individual (Exchange), and Commercial Group, Special Needs Plans (SNP), Managed Medical Assistance, Children’s Health Insurance Program (CHIP) to the community.