Oregon Health & Science University has signed a letter of intent with Moda Health to work together — and possibly acquire part of the health insurance company.
Last year, OHSU took the unusual step of lending health insurer Moda $50 million. Now, that loan could turn into an ownership position.
OHSU issued a statement Monday saying the two organization have signed a non-binding letter of intent to work together for better health outcomes, reduced costs and an improved patient experience.
But the letter also says OHSU has the option of acquiring up to a 25 percent equity position in Moda via that $50 million loan.
The head of OHSU, Joe Robertson, said the loan was made to keep Oregon's insurance marketplace healthy. That's after Moda didn't meet its revenue projections from the rollout of the Affordable Care Act.
But by working closer with Moda, OHSU could also be trying to compete with Oregon’s two large health groups: Kaiser Permanente and Providence Health. Unlike them, OHSU does not have its own health insurance company.
