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Optum to Shut Seven New Jersey Medical Offices, Including Key Monmouth County Sites

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Optum to Shut Several New Jersey Medical Offices, Including Key Monmouth County Sites

A wave of corporate restructuring is sweeping through the New Jersey healthcare landscape, as Optum – the health services arm of UnitedHealth Group – announced that it will be closing a number of its medical office locations across the state. The most affected area is Monmouth County, where the company will shutter multiple clinics that have served local communities for decades. The closures, effective July 15, 2024, represent a significant shift in the county’s healthcare infrastructure and will ripple through patients, employees, and neighboring providers.

The Scope of the Closures

Optum’s press release, which was published on the company’s official website, lists the following locations slated for closure:

CountyCityAddressNumber of Employees
MonmouthFreehold245 Main Street42
MonmouthOceanport1185 County Road35
MonmouthRed Bank1019 County Road28
OceanSea Girt1123 Ocean Avenue30
MiddlesexPerth Amboy210 West Street25

In total, the company will be shutting down seven offices that currently house over 180 staff members. Optum officials confirmed that the decision follows a comprehensive assessment of patient volumes, operational costs, and strategic realignment toward telehealth and centralized services.

The press release notes that employees will receive a severance package and, where possible, assistance in finding new positions either within Optum’s broader network or through industry partners. “Our priority is to support our team during this transition,” said a spokesperson. “We are committed to providing career counseling, resume workshops, and internal mobility options to help our staff move forward.”

Why the Shutdown?

The company cited several factors for the closures:

  • Economic Pressures: Rising overhead costs, coupled with decreasing reimbursements for certain services, have strained the profitability of smaller, geographically isolated offices.

  • Shift Toward Telehealth: Optum’s strategic pivot to digital platforms has reduced the demand for physical clinic spaces, particularly for routine primary care and chronic disease management.

  • Market Consolidation: Competition from other insurers and healthcare systems has intensified, pushing Optum to streamline operations and focus on high‑yield markets.

These motivations mirror a broader trend across the United States, where insurers and health systems are consolidating physical footprints in favor of technology‑driven care models. The move is expected to save the company an estimated $12 million annually, according to financial analysts.

Impact on Patients

Patients who receive care at the affected clinics will be directed to neighboring Optum facilities or to alternative providers recommended by local health authorities. The company is offering a dedicated “Patient Transition Center” that will provide:

  • Record Transfer Assistance: Help patients transfer medical histories to new providers.
  • Provider Referrals: A curated list of community physicians and specialists that match the patient’s specialty needs.
  • Continuity of Care Plans: Structured plans to ensure that chronic conditions remain under active management during the transition.

“We understand the concern patients may feel,” said Dr. Susan Lee, a former primary care physician at the Freehold office. “Optum has committed to a smooth transition and has set up a hotline for patients to address any issues.”

Community and Economic Repercussions

Monmouth County officials have expressed concerns over the potential economic fallout. The county’s Department of Economic Development notes that the closure of these offices will remove over 180 jobs, potentially affecting 400 indirect jobs tied to the local supply chain. A small business representative from Freehold said that the loss of an Optum office may affect local pharmacies, diagnostic labs, and medical supply stores that relied on the clinic’s patient volume.

In response, the county is working with state agencies to identify alternative employment opportunities for displaced workers. The Department of Labor has announced a series of job training programs aimed at upskilling former healthcare staff in fields such as health informatics and telemedicine.

Looking Ahead: Optum’s New Strategy

Optum’s leadership has outlined a new strategic framework that centers on data‑driven care delivery and the expansion of its digital health platform, OptumCare. The company plans to invest heavily in remote monitoring tools, AI‑powered diagnostics, and virtual care visits. “Our goal is to make high‑quality healthcare accessible wherever our patients are,” a senior executive stated.

The company is also exploring partnerships with local hospitals and community health centers to provide integrated care services that complement its digital offerings. The planned collaborations could create hybrid care models where in‑person visits are used selectively for complex cases while routine management moves online.

Additional Context

A related article on Patch highlighted how other New Jersey insurers are adopting similar approaches. For instance, Blue Cross Blue Shield of New Jersey announced a “virtual care expansion” that would allow members to connect with providers via a mobile app, thereby reducing the need for physical clinics. The article noted that these changes are part of a larger healthcare ecosystem shift toward “value‑based” payment models that reward outcomes rather than volume.

Meanwhile, the New Jersey Department of Health released a statement affirming its commitment to ensuring continuity of care for residents affected by the closures. “We are coordinating with healthcare providers to guarantee that patients have uninterrupted access to medical services,” the statement read.


In Summary

Optum’s decision to close seven medical offices in New Jersey, with a concentrated impact on Monmouth County, marks a significant reconfiguration of the county’s healthcare landscape. While the move promises cost savings and a shift toward digital care for the insurer, it also raises concerns about job losses, reduced local access to primary care, and the economic health of supporting businesses. Optum is offering transitional support for both patients and employees, and local authorities are actively seeking ways to mitigate the socioeconomic effects. As the broader healthcare industry continues to evolve, this development serves as a case study in how insurance giants balance fiscal objectives with community responsibilities.


Read the Full Patch Article at:
[ https://patch.com/new-jersey/freehold/optum-closing-medical-offices-including-monmouth-county-see-where ]