Apr. 26—Yes, Geisinger President and CEO Dr. Jaewon Ryu said, it is "technically an acquisition" when Geisinger Health becomes part of the newly formed Risant Health, created by Kaiser Permanente. But because all three entities are non-profits, this is "not your typical acquisition."
Ryu took center stage in a Zoom media conference Wednesday, hastily organized after a roughly 500-word announcement of the move seemed to spur more questions than answers. The jargon-laden media release issued earlier in the afternoon used the phrase "value-based" 13 times counting the headline and a subhead, without defining it.
The move will make Geisinger part of the newly-formed Risant — in fact, it is the first health system to become part of the organization, and Ryu will become Risant CEO — but Geisinger will retain its identity, employees, and various operations, including the insurance arm of the regional health care giant. "It preserves the name, brand, what we bring to the community and what the community can expect from us."
Ryu said the move should have no negative impact on regional Geisinger projects already in the works, including a new behavioral health facility in Moosic and cancer treatment center in Dickson city. If anything, Ryu said, the partnership with Kaiser could accelerate ongoing plans.
The acquisition model "is designed to enhance and boost our capabilities, specifically in the value-based space," Ryu said.
Asked to define that frequently-used term, Ryu said "it means we're focused on the total health" of people. Traditional health care has long operated on a fee-for-service basis, administered only when patients seek help by visiting an emergency room, clinic or doctor's office. In most cases, the problem has already developed beyond any preventative care.
Geisinger "has long been on a journey to improve total health," looking for ways to help prevent and manage health issues, thus reducing the use of acute or emergency care, Ryu said "You've got to be able to mange total health care, even when they don't come to you."
He cited Geisinger's at-home diabetes care system, which uses data analysis to determine the people in the system at highest risk or sickest, then brings care into those homes. "We've seen the ER use rate for that population drop by 25%" as a result of improvements in home care, Ryu said. "Inpatient care also drops by a similar percentage.
"It's more valuable to the patient, the community and their employer."