Pohjola Insurance to focus on core business and sell hospital chain

Pohjola Insurance Ltd will sell the entire share capital of Pohjola Hospital Ltd to Pihlajalinna Terveys Oy, part of the Pihlajalinna Plc Group. As part of the acquisition, Pohjola Insurance and Pihlajalinna will sign a long-term cooperation agreement on the provision of health services for customers of Pohjola Insurance.

Pohjola Hospital is a hospital chain that specialises in orthopaedic care, i.e. treatment for musculoskeletal conditions and accidents, in five Finnish cities with university hospitals: Helsinki, Tampere, Turku, Oulu and Kuopio. The company had 266 employees, on average, in 2020. The transaction will have no staffing implications.

Since its establishment in 2013, Pohjola Hospital has had the goal of providing effective care, creating an outstanding customer experience, and shortening the clinical pathway. It has been hugely successful at this: its NPS (Net Promoter Score) for surgery has been above 95 throughout its history, and it has markedly shortened its clinical pathway.  

“We are extremely proud of the work done by Pohjola Hospital. By providing the right kind of treatment at the right time, we have considerably expedited patients’ return to work after an illness or accident. This has benefited patients, employers, us as an insurance company and, ultimately, society in general,” points out Olli Lehtilä, Managing Director of Pohjola Insurance. 

Pohjola Insurance will now focus on developing its core business. 

“The healthcare sector is in continuous transition and we see potential for even better development of Pohjola Hospital as part of a major Finnish healthcare provider. The new owner will have better prospects of fully utilising a hospital network built for a wider range of health services than are currently offered,” adds Lehtilä. 

In addition to the cooperation now agreed, Pohjola Insurance can continue to provide its health insurance customers with a high-quality, growing range of healthcare services through its overall partner network. 

“In line with its strategy, Pihlajalinna aims to widen its network of locations and range of special healthcare services in all Finnish provinces, particularly population centres. Pohjola Hospital has modern service locations in Finland’s major cities, and a world-class surgical process. Clinical pathways with genuine health benefits, the related exercise services, and digital services and preventative medicine will continue to be our development focus,” says Joni Aaltonen, CEO of Pihlajalinna. 

The acquisition is subject to approval by the Finnish Competition and Consumer Authority. The acquisition and cooperation agreement will have no impact on Pohjola Insurance’s other health sector partnerships.