AmeriHealth New Jersey and Cooper University Health Care Transaction Closed

Cooper gains minority interest in AmeriHealth New Jersey.

On Jul 25, 2014

AmeriHealth New Jersey and Cooper University Health Care announced they have closed the transaction and finalized their agreement to transform the delivery of health care in New Jersey. The venture, announced last April, is unprecedented between a health insurer and hospital system in the state, according to the entities.

Under the transaction, Cooper University Health Care receives minority interest in AmeriHealth New Jersey.

The goal of the collaboration between the two organizations is to work together to develop and offer an expanded suite of co-branded health products and an accountable care model for New Jersey residents.

“We are pleased at the interest we have seen in our Silver Exclusive Provider Organization (EPO) plans that became available on the Individual and SHOP Marketplaces in October,” said Judith L. Roman, president and CEO of AmeriHealth New Jersey. “We are equally excited about the progress made on the accountable care model we have built together, which will enable patients to have easier access to their physicians as well as enhanced communication with them.”

The pay-for-performance model jointly designed by AmeriHealth New Jersey and Cooper University Health Care aims to achieve three key goals:

• Reward the delivery of high-quality and cost-effective care.
• Incent and encourage collaboration and care coordination across the delivery system among the hospital, specialists and primary care physicians.
• Promote clinical integration of a hospital and its medical staff.

“We have been very pleased with our initial co-branded AmeriHealth Cooper Advantage insurance product, which was launched in late 2013. Patients in South Jersey have embraced the program, with over 11,000 enrolling in the first six months. This surpassed our projections by over 400 percent,” said Eli Winkler, senior vice president of Growth and Development for Cooper University Health Care. “This confirms our belief that patients are seeking high-quality, affordable healthcare plans and that they trust Cooper and AmeriHealth New Jersey for their healthcare needs.”

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