Independent Health, County Medical Center Reach Deal on New Two-Year Contract
Posted on: Thursday, 27 October 2005, 00:00 CDT
By Jonathan D. Epstein, The Buffalo News, N.Y.
Oct. 26--Independent Health Association and Erie County Medical Center have reached a new two-year contract, providing for higher reimbursements to the hospital but without the bitterness of another recent contract renegotiation.
The new contract covers all Independent Health business lines -- commercial, Medicare, Medicaid and self-insured -- and ensures the insurers' members can get care at ECMC and its facilities.
ECMC, with 550 inpatient beds, 156 skilled nursing beds and the Erie County Home, is also the region's only "level one" trauma center.
"In today's health care environment, collaboration is critical: health plans, hospitals and physicians need to work cooperatively, not competitively," said Dr. Michael Cropp, Independent Health president and CEO.
The insurer and medical center did not release details of the contract, except that it will run through the end of 2007. The current two-year contract expires at the end of this year.
"None of us like to let the others know what our reimbursements are," said ECMC spokesman Tom Quatroche, explaining the secrecy of the contract. "That's something everybody keeps close to the vest."
However, he said it will provide "what we would consider a significant increase in reimbursements" to the hospital. It also includes so-called "pay-for-performance" provisions that provide extra payments for meeting certain national benchmarks of quality care.
The quiet negotiations, which lasted several months, are in stark contrast to the bitter public battle that erupted recently between the Catholic Health System and Univera Healthcare over their contract. Talks that began in July broke off abruptly earlier this month, as the hospital system demanded more money, while Univera resisted.
In response, Catholic Health said it would end its relationship with Univera at the end of the year, affecting 34,000 Univera members. And both sides launched advertising and public relations campaigns to sway public opinion and force movement. An agreement was finally reached 10 days later on a new two-year contract.
ECMC is still negotiating with one other insurer right now, but Quatroche wouldn't say which one or when the current contract expires. He said the talks are "going well," but wasn't sure when an agreement might be reached.
Independent Health is in discussions with Kaleida Health to extend their current contract, which expires at the end of this year, Independent Health spokesman Frank Sava said. The insurer's contract with Catholic Health runs through 2006.
-----
To see more of The Buffalo News, N.Y., or to subscribe to the newspaper, go to http://www.buffalonews.com.
Copyright (c) 2005, The Buffalo News, N.Y.
Distributed by Knight Ridder/Tribune Business News.
For information on republishing this content, contact us at (800) 661-2511 (U.S.), (213) 237-4914 (worldwide), fax (213) 237-6515, or e-mail reprints@krtinfo.com.
Source: The Buffalo News
Related Articles
- OptumHealth and State of Ohio Renew Health Contract
- State of Ohio Renews Behavioral Health Contract With OptumHealth
- MyPatientLine Connects Hospitalized, Critical Care Patients and Their Friends, Family Members
- Hospital Palliative Care Programs Continue Rapid Growth
- MedCom USA, Inc. Appoints Paul J. Snyder, Former Vice President of Cardinal Health As Executive Vice President of Western Hospital Sales
- Picis Wins Three Large Contracts at GE Carecast Sites; Eight Hospitals Select Picis for Its Proven Integration Capabilities and High-Acuity Functionality
- Ugandan Minister Calls for End of Strike at National Hospital
- Pacer Health Corporation Reopens Calcasieu Oaks Geriatric Psychiatric Hospital
- University Medical Center Tucson, AZ Selects SeeBeyond to Integrate Hospital Patient Care and Financial Systems
- Health Dialog Supports Partners HealthCare in Initiative to Improve Care for Medicaid Patients
 |
 |
User Comments (0)
RSS Feeds