Health-Medical

Pennsylvania Managed Care Companies Push For Higher Medicaid Reimbursements

Insurance companies operating managed care plans under Pennsylvania’s Medicaid program are objecting to a proposed payment increase that they say is too low to keep up with growing medical expenses, the Pittsburgh Post-Gazette reports. Gov. Ed Rendell’s (D) fiscal year 2007 budget proposal calls for a 4% increase in payments to the three health plans that administer benefits for the state’s Medicaid program. Some health plan officials say a higher increase is needed in order for them to maintain profitability, according to the Post-Gazette. Mike Blackwood, CEO of Gateway Health Plan, said that medical costs have increased about 8% to 9% annually and that the state’s payment increases have failed to keep up with the growth for the last two years. Diane Holder, CEO of UPMC Health, said her company likely would end its Medicaid business at the end of the year if the proposal goes through because of projected losses of $25 million to $30 million. “That’s just not something we can tolerate,” Holder said. Jim Hardy, deputy secretary of Medical Assistance at the state Department of Public Welfare, said state actuaries have found the proposed 4% increase to be adequate for plans to remain operational. Hardy said, “The plans’ operating margins have been reduced over the last couple years, so it’s a lower-margin business than it used to be.” However, the lower rate increases are “what a really good plan should be at,” he said (Snowbeck, Pittsburgh Post-Gazette, 5/26).

Radhe

Share
Published by
Radhe

Recent Posts

16 Viagra Frequently Asked Questions

What is Viagra? Viagra is a prescription medication used to treat erectile dysfunction (ED) in…

10 hours ago

Why Oocytes Is Used In IVF?

Oocytes, also known as eggs, play a crucial role in the process of in vitro…

2 days ago

Erectile Dysfunction Treatment By Viagra Sildenafil Citrate

Erectile dysfunction (ED) is a common condition that affects millions of men around the world.…

3 days ago

Can Menstrual Pains Change As People Get Older?

As you start growing older, your body experiences several changes including reproductive changes as well.…

2 weeks ago

What are the Best 5 Natural Remedies for PMS Symptoms?

A monthly cycle comes and goes, so keeping up with period issues like bloating, headaches, cravings, and…

2 months ago

What are the Vital Things Homemade Dog Food Could Be Missing?

It may be more enticing to feed your dog a meal that resembles what you…

3 months ago

This website uses cookies.