Mergers, Acquisitions And New Affiliations Change Roles For Insurers, Providers

Topics: Health Costs, Delivery of Care, Hospitals, Insurance, Marketplace

Aug 27, 2012

News outlets report on changes in the health care marketplace.

The Wall Street Journal: Same Doctor Visit, Double The Cost
But something had changed: his cardiologist’s practice had been bought by Renown Health, a local hospital system. Dr. Hubbard was caught up in a structural shift that is sweeping through health care in the U.S. — hospitals are increasingly acquiring private physician practices. Hospitals say the acquisitions will make health care more efficient. But the phenomenon, in some cases, also is having another effect: higher prices (Mathews, 8/26).

Kaiser Health News: Hospitals Look To Become Insurers, As Well As Providers Of Care
Michael Dowling, a burly Ireland native running one of New York’s largest hospital networks, is preparing to turn his business model on its head: He wants to keep his hospital beds empty, rather than full. That’s because the North Shore-LIJ Health System, with 16 hospitals and more than 300 outpatient centers in Long Island and New York City, is laying the groundwork to be an insurer, as well as a provider of health care (Rabin, 8/26).

Kaiser Health News: Mayo Clinic Seeks to Extend Its Reach With A Series Of Affiliations Around The Country
Capitalizing on its reputation for top notch medical care, Mayo previously relied primarily on patients traveling to its main campus in Rochester, Minn., as well as satellite campuses in Jacksonville, Fla., and Phoenix and Scottsdale, Ariz., and a regional health system it has built in Wisconsin, Iowa and Minnesota (Graham, 8/24).

The Washington Post: Affordable Care Act Driving Health Care Mergers
Two of the region’s corporate giants — one focused on government health insurance, the other specializing in communities for seniors — were acquired by larger industry players last week, as consolidation heats up in health-related sectors (Ho, 8/26).

This is part of Kaiser Health News’ Daily Report – a summary of health policy coverage from more than 300 news organizations. The full summary of the day’s news can be found here and you can sign up for e-mail subscriptions to the Daily Report here. In addition, our staff of reporters and correspondents file original stories each day, which you can find on our home page.

English: California OPA Health Care Quality Re...

English: California OPA Health Care Quality Report Card on HMOs for 2009 (Photo credit: Wikipedia)


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