Kaiser to acquire Group Health
Kaiser Permanente and Group Health Cooperative have signed a definitive agreement for Kaiser Permanente to acquire Seattle-based Group Health. The combination will advance the growth of the integrated model for health care and coverage together and expand Kaiser Permanente’s reach, adding nearly 590,000 members.
“This agreement is a natural extension of our long, successful working relationship with Group Health and it provides us with the opportunity to expand access to high-quality, affordable care and coverage,” Bernard J. Tyson, chairman and CEO of Kaiser Foundation Health Plan and Hospitals, said in a statement. “Kaiser Permanente and Group Health Cooperative are a natural fit. The opportunity to unite will allow us to best serve the current and future needs of our members, customers and employees. We look forward to welcoming the people of Group Health Cooperative into the Kaiser Permanente family.”
Kaiser Permanente and Group Health have worked together in the past, sharing best clinical practices and allowing each health plan’s members to receive care while visiting the other’s service areas. Pending approvals by Group Health’s voting membership and regulatory entities, the organization would become fully integrated with Kaiser Permanente and operate as a new, eighth region. Like other Kaiser Permanente regions, the Washington region will be managed locally while taking advantage of Kaiser Permanente’s national resources. The combined organization to service communities along the West Coast, from San Diego to Seattle. There will be no immediate changes to the coverage and care currently provided by either organization.
By joining together, Group Health and Kaiser Permanente expect to better meet the needs of individuals as well as large commercial and national accounts with employees who live and work in Washington. Kaiser Permanente said it intends to invest in the facilities, technology, member experience, and the Group Health Cooperative workforce to ensure the best possible health care and coverage for the people and communities in Washington.