Penn Medicine, Independence Blue Cross (IBX), and Regent Surgical (Regent) announced a first-of-its-kind strategic partnership designed to rapidly expand access to high-quality outpatient surgical care across the region. Through an innovative development model, the collaboration will support the creation of at least 18 ambulatory surgery centers (ASCs), accelerating the growth of one of the region's largest outpatient surgery networks and bringing care closer to patients and communities.
The three organizations are launching a new company, bringing their distinct strengths together under one roof. Penn Medicine brings nationally recognized clinical expertise and a leading physician network. IBX contributes deep experience in improving access, affordability, and the health care experience for members, while Regent adds decades of expertise in developing, operating, and scaling ASCs across the country. Together, the organizations are uniquely positioned to expand patient access to high-quality surgical care in outpatient settings across the region.
"This partnership will help us meet growing demand for outpatient surgery while driving down the cost of care in our region and keeping Penn Medicine's standards for clinical excellence at the center of every decision," said Kevin B. Mahoney, CEO of the University of Pennsylvania Health System. "By expanding access to appropriate procedures in convenient, high-quality outpatient settings, we can give more patients affordable options closer to home."
ASCs make it possible for many procedures that once required a hospital stay to be performed safely in an outpatient setting, allowing patients to go home the same day. For common outpatient procedures, hospital facility fees can approach twice those charged in ASCs, reinforcing the opportunity to lower the total cost of care.
According to a study by Vizient, outpatient surgical volumes are projected to grow 20 percent through 2035, creating significant demand for additional ambulatory capacity. The new centers will support this growth across Penn Medicine's service area, which spans Pennsylvania, New Jersey, and Delaware.
"Health care needs to work better for the people we serve, and that means creating more convenient ways to access high-quality, affordable care. MedPAC reports that Medicare payment rates for most services performed in ambulatory surgery centers are approximately 46 per cent lower than in hospital outpatient departments," said Kelly Munson, president and CEO of Independence Blue Cross. "This partnership brings together the right organizations to expand access, improve affordability, and deliver a better experience for the people and communities we serve."
