Center for Studying Health System Change

HSC Holds Media Briefing on Contract Showdowns and Network Instability

June 21, 2001

FURTHER INFORMATION, CONTACT:
Alwyn Cassil: 202/264-3484 or
Richard Sorian: 202/484-3475

WHAT: Media briefing on two new Center for Studying Health System Change (HSC) Issue Briefs focusing on the growing trends of health plan-provider contract showdowns and provider network instability. WHY: Consumers face higher costs, threats to choice and continuity of care as health plan-provider contract showdowns trigger network instability. Find out how health plan-provider contract showdowns are affecting consumers and what purchasers, policy makers and insurers are doing to stabilize provider networks to avoid patient care disruptions. WHEN: Thursday, June 28, 2001, 9:30 to 10:15 a.m. Continental breakfast at 9 a.m. WHERE: National Press Club, Zenger Room, 529 14th St., NW, Washington, D.C. Additionally, HSC will have a call-in line available for reporters. WHO: Paul B. Ginsburg, Ph.D., HSC president; Cara S. Lesser, HSC director of site visits; Robert A. Berenson, M.D., senior adviser, Academy for Health Services Research and Policy; and a consumer or purchaser representative. HOW:     To register for the briefing or obtain information about calling in to the briefing, contact Alwyn Cassil at (202) 264-3484 or acassil@hschange.org.

Across the country, hospitals and physicians are using their growing bargaining clout in contract negotiations with health plans. Issues of greatest concern to consumers - caregiver choice, costs and continuity of care - depend on health plans’ ability to maintain adequate networks of hospitals, physicians and other caregivers. When plans and providers can’t reach agreement over contract terms, consumers may need to change caregivers or pay more for out-of-network care. What’s driving the growing trend of network instability and what does the shifting balance of power from plans to providers mean for consumers?

At the media briefing, HSC will release two new Issue Briefs, Provider Network Instability: Implications for Choice, Costs and Continuity of Care and Health Plan-Provider Showdowns on the Rise. The Issue Briefs draw on HSC’s recently completed site visits to 12 nationally representative communities.