Terre Haute Hospitals Union Health and Regional to Merge After State Approval

Union Health and Terre Haute Regional Hospital will combine operations after the Indiana Department of Health approved a Certificate of Public Advantage application today, a move expected to reshape healthcare access in the Wabash Valley.

The Indiana Department of Health’s decision, finalized November 9, 2025, followed a review period examining potential improvements to healthcare access and quality. Steve Holman, President and CEO of Union Health, stated the merger “is an opportunity for growth, expanded services, and improved health outcomes for those we serve.” Molly Callahan, Chair of the Union Health Board of Directors, added that the combination of resources will expand the quality of healthcare provided. Indiana Governor Mike Braun indicated the merger’s operating conditions are designed to lower prices and increase services for residents of Terre Haute and Vigo County.

Medical professionals within Union Health foresee increased opportunities for specialized care. Dr. Mark Schuld of Union Medical Group explained that the merger “opens up options for primary care clinics, specialty care clinics that we currently don’t have space for.” This consolidation aims to reduce the need for patients to travel to larger cities like Indianapolis for treatment, keeping healthcare dollars local. Concerns about potential impacts on competition were previously raised by Indiana Attorney General Todd Rokita, who worried about the consolidation of the city’s only two hospitals, and the Federal Trade Commission, which reaffirmed its opposition in May, citing potential for higher costs and lower wages.

Union Health officials say they will prioritize a smooth transition for both patients and staff as the merger is finalized, and further details regarding integration will be released in the coming weeks.