Independence Blue Cross, Tower Health Reach Contract Agreement

Tower Health, which recently acquired five hospitals in the area, has come to a new contract agreement with Independence Blue Cross, the two sides announced on Friday.

Tower Health, previously known as Reading Health System, finalized their acquisition of Phoenixville Hospital, Brandywine Hospital in Coatesville, Chestnut Hill Hospital in Philadelphia, Jennersville Regional Hospital in West Grove, and Pottstown Memorial Medical Center on Oct. 1.

All of these hospitals will remain in the Independence Blue Cross network of coverage, something which was at stake after Independence and the new owners were not able to immediately come to a contract agreement.

"Providing patients, members, and communities continued access to quality, affordable care in this region is paramount for both organizations; and resolving these discussions quickly was in the best interest of members and patients," a statement issued jointly by Clint Matthews, president and CEO of Tower Health, and Anthony V. Coletta, president of Independence Blue Cross Facilitated Health Networks, read. "We are confident that this agreement will serve as the foundation for a strong relationship between our two organizations."

Tower Health's new properties were previously owned by Community Health, a for-profit medical business based in Franklin, Tennessee.

Tower also owns Reading Hospital's Reading Hospital Rehabilitation at Wyomissing, Reading Hospital School of Health Sciences, and Reading HealthPlex, an innovative advanced surgical center; Tower Health Medical Group, a comprehensive network of primary and specialty providers; Tower Health Partners, a clinically integrated network; and Tower Health/UPMC Health Plan.

Patch file photo