Optum quietly buys New York physician group

Optum has purchased Middletown, N.Y.-based Crystal Run Healthcare, a multispecialty physician group with over 400 providers across more than 30 locations.

The deal was made official Feb. 22, according to a letter from Crystal Run CEO Hal Teitelbaum, MD, to employees obtained by Mid-Hudson News. The purchase was not publicly announced by Optum or Crystal Run.

"We will join Optum as part of their Tri-State Team, and will no longer have physician owners," Dr. Teitelbaum wrote. "Crystal Run has long recognized that the fee-for-service reimbursement model is broken, and we committed to transition to value-based care focused on the quadruple aim."

Crystal Run provides care across nearly 50 specialties in the Hudson Valley and lower Catskill region of New York. Its ambulatory surgery center offers gastroenterology, orthopedic, pain management, otolaryngology, gynecology, urology, plastic and reconstructive surgery, ophthalmology, and general surgery services, according to its website

In February, Optum closed on a $5.4 billion acquisition of LHC Group, a home health company with 30,000 employees across 38 states. In 2022, Optum purchased at least five other provider groups. In total, the company employs or is affiliated with 70,000 physicians nationwide across 2,200 locations.


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