Kaiser Permanente is entering the Nevada market through a newly announced joint venture with Renown Health, bringing more integrated, value-based care to the state’s expanding population.
Announced on Sept. 10, the initiative will form a new health insurance entity — Kaiser Permanente Nevada — built on the foundation of Renown’s Hometown Health plan, pending regulatory approval. Enrollment is expected to begin in 2026 for coverage starting in plan year 2027.
The joint venture brings together two nonprofit organizations with complementary strengths and a shared mission of improving community health. Renown, based in Reno, is the largest locally governed, nonprofit integrated healthcare network in northern Nevada. Kaiser Permanente, one of the nation’s largest integrated care and coverage organizations, currently serves more than 12.6 million members across eight states and the District of Columbia.
Renown established Hometown Health in 1988 and it now serves more than 73,000 members through all types of health insurance plans. Like many health systems, the pandemic challenged Renown and two years later the health system struggled to meet value-based goals on its own.
“Access and affordability is critical in the healthcare space, but we knew we needed a partner,” said Brian Erling, CEO of Renown. “We spent six months trying to find a like-minded, mission-oriented partner. It’s taken additional time to work out the partnership details and now we’re excited to announce our path forward.”
Northern Nevada’s rapid economic and population growth has created a sizable commercial group population. Reno is the second-largest metropolitan area in the state and is growing faster than the U.S. overall. Approximately 40% of new Nevada residents are relocating from California — many of them former Kaiser Permanente members who want to continue their care model in their new home state.
“It was an obvious move in terms of demand,” said Sam Glick, executive vice president of enterprise strategy and business development for Kaiser Permanente. “We knew we needed to enter Nevada with a high quality partner, and we knew Renown was interested in advancing value-based care. As we see it, this was the right time to forge a partnership. More broadly, for our strategy, we are fortunate to take care of 13 million people across the country. We are proud of the health outcomes we are able to deliver and we believe we have an obligation to care for the community in Nevada.”
The joint venture is designed to meet this demand by combining Renown’s local footprint and provider relationships with Kaiser Permanente’s national infrastructure and integrated, value-based care delivery model. This model includes evidence-based protocols, integrated digital experiences, and aligned financial incentives across the care continuum to support better outcomes and cost efficiency.
“We’ve been very proactive with the communication cascade among all the key stakeholders and there has been general excitement about the announcement,” said Dr. Erling. “The most common question I’ve been asked is ‘when can my employees become part of Kaiser Permanente Nevada?’ It’s being received very positively.”
As a first order of business, Kaiser Permanente Nevada will establish two new medical offices convenient to central and northern Reno, adding to the existing Del Monte medical office, which will be incorporated into the joint venture. Members will have access to a broad range of services, including:
Diagnostic, pharmacy, and ancillary services within Kaiser Permanente facilities
Renown’s hospitals and provider network
Emergency departments, inpatient and outpatient care, surgical care, and urgent care services
Renown will continue operating independently and will maintain its current insurance plan offerings. It will serve as the hospital and provider network for Kaiser Permanente Nevada under long-term contractual relationships.
Once regulatory approvals are secured, Kaiser Permanente and Renown will jointly own Hometown Health. Kaiser Permanente will assume operational management of the plan, and by 2026, following a transition period, the brand will shift to Kaiser Permanente Nevada.
“We evaluate our strategy every year as we think about our products, pricing and network,” said Mr. Glick. “Our goal is to lead on affordability and quality of care. The core of our products will be Kaiser Permanente plus Renown, and then we will continue to partner with others as well.”
This approach is distinct from traditional acquisitions or provider sponsorships — it reflects a collaborative model designed to respect Renown’s independence while extending Kaiser Permanente’s model into the market. The health system and health plan’s structure will remain intact through this transition.
“Part of the reason we are excited to partner with Renown is the quality of its leadership,” said Mr. Glick. “You learn a lot about each other through the course of the deal. The quality and commitment, and connection to the local community is a real asset and we believe it will continue to be an asset.”
Kaiser Permanente will bring sales leadership and go-to-market strategy and scale to Nevada as well as its claims platform and actuarial expertise. Dr. Erling said his team will lean into the new opportunities.
“One of the most important attributes for a deal like this is humility,” he said. “A lot of leaders focus on the organization and empire building, which requires other behaviors. My leadership team is 100% mission aligned. It takes humility to partner appropriately and it’s hard to recognize and acknowledge you need help.”
By bringing its evidence-based, value-based care approach to northern Nevada, Kaiser Permanente aims to improve outcomes and access while simplifying the healthcare experience for members. That experience comes with real results, especially for patients with common conditions such as cancer and heart disease. Research from the Kaiser Permanente shows that its members are 20% less likely to die prematurely from cancer and 33% less likely to die prematurely from heart disease.
Kaiser Permanente also brings extensive experience managing national, multistate, and public sector accounts — many of which already operate in northern Nevada. The joint venture is expected to appeal to employers looking for integrated care options that span multiple geographies and deliver consistency in quality and member experience.
“We invest hundreds of millions of dollars in member experience and now with our app, virtual care coverage will be fully available. We have industry-leading pharmacy services integrated with our digital experience and that will come to Nevada,” said Mr. Glick. “We recently launched ambient listening to 10,000-plus physicians in our organization, and as we do more with AI and tech, it will become the norm to be in Reno too.”
Kaiser Permanente Nevada is a long-term play in a growth market, and if successful, it could serve as a replicable model for other regions seeking to scale value-based care through nonprofit partnerships.
“We want to be the most affordable, highest quality option in Nevada, and we think membership will follow if we do that,” said Mr. Glick. “Our ultimate goal is to bring the industry leading quality and affordability to the community and raise the bar for everyone.”
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