Physician enablement company Aledade has acquired Michigan-based Medical Advantage, which since 2014 has operated as a wholly owned subsidiary of The Doctors Company, the nation’s largest physician-owned medical malpractice insurer.
The acquisition, for an undisclosed sum, expands Aledade’s physician partnership footprint in Michigan from 35 to approximately 700. Aledade said it also would sustain Medical Advantage’s status as a physician organization able to participate in value-based care arrangements with both public and private payers, including Blue Cross Blue Shield of Michigan.
Bethesda, Md.-based Aledade has grown to work with 1,900 practices, Federally Qualified Health Centers and community health centers in 45 states and the District of Columbia, It shares in the risk and reward across more than 200 value-based contracts representing more than 2.5 million patient lives.
Medical Advantage provides physicians with technology, tools, best practices and in-practice support. This includes quality performance, risk adjustment, cost management services, information technology and analytics. Medical Advantage consultants also work directly with clinicians in the community to facilitate collaboration with home health, skilled nursing facilities, dialysis centers and local hospitals. As a result of the acquisition, Medical Advantage President Paul MacLellan will now become the new president of Aledade’s Michigan market.
“This is the merger of two organizations dedicated to doing what’s good for patients, practices and society,” said Farzad Mostashari, M.D., co-founder and CEO of Aledade, in a statement. “Working together, we can help more independent primary care practices in Michigan not only to participate, but succeed, in value-based care. This partnership means more Michigan primary care physicians will have support in doing what they do best – keeping Michiganders healthy.”
