Blue Shield of California and John Muir Health to collaborate on coordinated care model to improve quality and reduce healthcare costs

SAN FRANCISCO and WALNUT CREEK, Calif., May 30, 2012 /PRNewswire-USNewswire/ -- Blue Shield of California and John Muir Health today announced an accountable care initiative designed to provide integrated, cost-efficient health care to approximately 16,000 Blue Shield HMO members in Contra Costa County. About 6,600 of these members are members of the California Public Employees' Retirement System (CalPERS). This initiative launches July 1, 2012 and will continue for a minimum of 36 months. The partners expect this collaboration to result in little to no increase in healthcare costs for these members in the first year of the collaboration, and low single digit increases in the two subsequent years.

"This partnership is well aligned with our efforts to reduce costs, enhance quality and increase access to John Muir Health," said Mitchell Zack, vice president, Employer and Payor Relations at John Muir Health. "We are committed to controlling our costs and working collaboratively with Blue Shield to pass along savings to local employers in the form of lower premiums."

The goal is to build a care delivery model that improves quality through better coordination of care while taking costs out of the health care delivery system. Preliminary work is already underway to have a material, sustainable impact on health care costs for members and employers over time, and will accelerate in the coming months.

This is Blue Shield's seventh commercial accountable care organization. Blue Shield currently works with hospitals, physician groups and employers on ACOs to deliver integrated care to 100,000 Californians in Sacramento, San Francisco, the Central Valley and Orange County.

"This collaboration with John Muir Health is aimed at delivering high-quality coordinated care to Blue Shield members in Contra Costa County. It's another milestone in our ongoing effort to transform how we provide and pay for care to make health coverage more affordable to all Californians," said Juan Davila, senior vice president of network management for Blue Shield of California.

About Blue Shield of California

Blue Shield of California, an independent member of the Blue Cross Blue Shield Association, is a not-for-profit health plan with 3.3 million members and 4,800 employees. Founded in 1939 and headquartered in San Francisco, Blue Shield of California provides health, life, dental, vision, and Medicare insurance and health care service plans in California, has one of the largest provider networks, and $9.7 billion in annual revenue. In 2012, Blue Shield of California was named one of the World's Most Ethical Companies. Since 2005, the company has contributed more than $170 million to Blue Shield of California Foundation, one of BusinessWeek's most generous corporate foundations. Contact your local agent or broker about Blue Shield of California products and services, or visit www.blueshieldca.com.

About John Muir Health

John Muir Health is a nationally recognized, not-for-profit health care organization located east of San Francisco, serving patients in Contra Costa, eastern Alameda and southern Solano Counties. It includes a network of 925 primary care and specialty physicians, more than 6,000 employees, medical centers in Concord and Walnut Creek, including the county's only trauma center, and a Behavioral Health Center. The health system also offers a full-range of medical services, including primary care, outpatient, lab and imaging services, and is widely recognized as a leader in many specialties – neurosciences, orthopedic, cancer, cardiovascular, emergency and high-risk obstetrics care. For more information, visit www.johnmuirhealth.com.

CONTACTS:

Johnny Wong
Blue Shield of California
(415) 229-6321
[email protected]

Ben Drew
John Muir Health
(925) 947-5384
[email protected]

SOURCE Blue Shield of California