In the wake of the demise of the HealthSpan insurance enterprise, Medical Mutual of Ohio and the MetroHealth System in Cleveland are hoping to scoop up some of that business with a new product—dubbed CLECare—that both parties say will offer roughly 15% lower premiums compared to other insurance products.
As part of the plan, which is available through Medical Mutual, employers and their covered employees will have access to a tailored network of providers to keep costs low. MetroHealth will provide the bulk of that care, including tests, doctor visits and hospital stays through its growing provider network. Additional categories of care, such as behavioral health, home and hospice care, will be provided by other health care organizations in the region.
In a prepared statement, MetroHealth CEO Dr. Akram Boutros said, “This rare and intense collaboration improves patients' access to the best care for their needs while reducing costs. This partnership really came together because all of us are committed to improving patient care.”
Medical Mutual acquired the insurance business from HealthSpan effective March 1. MetroHealth, meanwhile, assumed care for more than 40,000 HealthSpan patients starting April 1.
“We expect significant interest from former HealthSpan insurance purchasers and the growing number of employers and individuals in Cuyahoga County who seek better value for their health care dollars,” said Rick Chiricosta, chairman, president and CEO of Medical Mutual of Ohio, in a statement.
Earlier this year, HealthSpan — the former Kaiser Permanente of Ohio operation — announced it would dissolve its medical group, and many of its physicians have since been hired by other systems, particularly MetroHealth. HealthSpan had hoped to move forward as just an insurer, but the competition in the market proved too fierce.
"Medical Mutual, MetroHealth launch CLECare insurance product" originally appeared in Crain's Cleveland Business.