DMC Takes Another Big Step Toward the Future of Healthcare, Buys HMO

Jun 28, 2012, 09:56 ET from Detroit Medical Center

DMC Signs an Agreement to Purchase ProCare Health Plan, Inc.

DETROIT, June 28, 2012 /PRNewswire-USNewswire/ -- Detroit Medical Center (DMC) announced today that it has signed an agreement to purchase ProCare Health Plan, Inc., a Detroit-based Health Maintenance Organization (HMO) that offers health care coverage to Medicaid beneficiaries in Wayne County.  The purchase is contingent on approval of the State of Michigan including its Office of Financial and Insurance Regulation. 

"The future of healthcare is in achieving better health for our community, better healthcare for our patients, and lower costs," said Mike Duggan, CEO Detroit Medical Center.  "ProCare's experience in managed care is a key component in aligning DMC to where healthcare is moving."

Robin Cole, President of ProCare Health Plan, Inc., said, "ProCare Health Plan, Inc. has been dedicated to serving the unique needs and health challenges found in our city since our founding by Dr. Augustine Kole-James in 1996.  We are proud of the high quality of care we have been able to provide to our members, many of whom live in medically underserved areas.

"We are making this agreement with the DMC because it is in the best interests of the Plan, its members, our employees and the Detroit community we care so much about.  The DMC is a very positive force in Detroit, and we are so pleased that their strength, resources and commitment will soon be fully behind ProCare Health Plan."

Duggan said, "With our recent selection as one of only 32 National Pioneer Accountable Care Organizations, DMC is moving from a hospital system to a health care system. Our acquisition of ProCare better enables us to capitalize on many of the State and Federal initiatives in providing care, particularly to special needs populations."

In a healthcare system the patient-physician relationship becomes the center of patient care. DMC's structure and expertise in working with its physician community keeps the focus on caring for patients even when they're healthy.  

"The future of medicine isn't in hospitalizing as many people as possible.  It's in managing their healthcare efficiently to keep them out of the hospital and where hospitalization does occur, to get them home as quickly as possible," said Carrie Harris-Muller, President Michigan Pioneer ACO. "An important component to good health is patient, physician and hospital communication.  DMC's electronic medical records in the hospital and at the doctor level enable DMC to be a leader in providing better patient care."

About Detroit Medical Center

The Detroit Medical Center includes DMC Children's Hospital of Michigan, DMC Detroit Receiving Hospital, DMC Harper University Hospital, DMC Huron Valley-Sinai Hospital, DMC Hutzel Women's Hospital, DMC Rehabilitation Institute of Michigan, DMC Sinai-Grace Hospital, DMC Surgery Hospital, and DMC Cardiovascular Institute. The Detroit Medical Center is a leading regional healthcare system with a mission of excellence in clinical care, research and medical education.

About ProCare Health Plan, Inc.

ProCare, founded by Dr. Augustine Kole-James, was certified as a Clinic Plan in October 1996, a Qualified Health Plan in 1998, and a licensed HMO in December 2000.  ProCare currently operates from its headquarters on the east side of the City of Detroit and serves the Medicaid population in Wayne County, Michigan.

SOURCE Detroit Medical Center