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Health Net of California Announces $18 Million in Quality and Efficiency Bonuses for State's Physician Groups

Posted on: Thursday, 21 October 2004, 13:00 CDT

Health Net of California today announced it is paying $18 million in 2004 to 70 physician groups statewide in recognition of their efficiency and quality. Of the total, $5 million is tied to the Pay for Performance (P4P) program sponsored by the Integrated Healthcare Association that rewards physician groups for providing high-quality clinical care and customer service.

"By rewarding improvement in such areas as asthma and diabetes treatment, breast cancer screenings, childhood immunizations rates and office appointment access, Health Net of California - along with its physician partners - is helping promote better health for our members and create more positive interactions with the health care system," said Lance Lang, M.D., Health Net's vice president and senior medical director for Quality Improvement.

The P4P program's quality-of-care, customer service, and technology investment criteria were developed through the Integrated Healthcare Association, which consists of six of the state's largest health plans, physician groups, employers and consumer representatives. P4P rewards physician groups with financial incentives that help promote improvements in health care.

"This is just a beginning," said Lang. "Health Net is working with its partners through the Integrated Healthcare Association to broaden the scope of Pay for Performance quality measures and increase the proportion of compensation for physician groups that demonstrate a commitment to quality and efficiency."

P4P bonuses were paid to Health Net's commercial physician groups. The other quality disbursements, which are paid to commercial and Medicare physician groups, include shared-risk funds, financial investments in technology and a generic drug incentive program.

"Generic drugs are an important way to help keep the cost of drug benefit programs within the reach of members," said Lang.

Physician groups scoring highest on Health Net's P4P criteria, in alphabetical order, are: -0- *T Affinity Medical Group Alta Bates Medical Group Beaver Medical Group Brown and Toland Medical Group Buenaventura Medical Clinic Cedars-Sinai Health Associates Cedars-Sinai Medical Care Foundation Camino Medical Group Harriman Jones Medical Group HealthCare Partners Medical Group Hill Physicians Medical Group-East Bay Hill Physicians Medical Group-Sacramento/Auburn Hill Physicians Medical Group-San Francisco Hill Physicians Medical Group-Solano John Muir/Mount Diablo Medical Group Marin IPA Mills Peninsula Medical Group Palo Alto Medical Foundation Physician Association of the Greater San Gabriel Valley Physicians' Medical Group of Santa Cruz Pioneer Provider Network San Bernardino Medical Group Santa Clara County IPA, Santa Cruz Medical Clinic Santa Cruz Medical Clinic Sante Community Physicians Sharp Mission Park Medical Group Sharp Rees-Stealy Medical Group Sutter Independent Physicians Sutter Medical Group Sutter West Medical Group Torrance Hospital IPA UC Davis Medical Group UCLA Medical Group UCSD Healthcare Network Woodland Clinic Medical Group *T

Health Net of California is a subsidiary of Health Net, Inc. (NYSE:HNT). Health Net, Inc. is among the nation's largest publicly traded managed health care companies. Its mission is to help people be healthy, secure and comfortable. The company's HMO, POS, insured PPO and government contracts subsidiaries provide health benefits to approximately 5.2 million individuals in 30 states and the District of Columbia through group, individual Medicare, Medicaid and TRICARE programs. Health Net's subsidiaries also offer managed health care products related to behavioral health and prescription drugs, and offer managed health care product coordination for multi-region employers and administrative services for medical groups and self-funded benefits programs.

For more information on Health Net, Inc., please visit the company's Web site at www.healthnet.com.


Source: Business Wire

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