Dec 30, 2009 | Laboratory News, Laboratory Pathology, Managed Care Contracts & Payer Reimbursement
Sonic Healthcare asks for 30% pathology test fee increase from Bupa and MediBank
In Australia, reduced funding for pathology testing by government health programs is being blamed as one factor contributing to a contract spat between the nation’s largest clinical laboratory and its major private health insurance companies. Pathologists across the globe will recognize several familiar issues, as Australia’s health institutions struggle to cope with increased utilization of pathology testing and higher healthcare costs.
By asking for a price increase of 30% for pathology testing, Sonic Healthcare Ltd (ASX: SHL) has put itself at loggerheads with several of the nation’s largest private health insurance companies. As contracts between Sonic Healthcare and these private insurance companies expire, Sonic then sends bills directly to the patients insured by those health plans for the costs of the pathology testing performed during their stay at private hospitals. The amount of the bill reflects the “gap” fee difference between government reimbursement and the actual charge for laboratory tests.
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Dec 7, 2009 | Laboratory Management and Operations, Laboratory News, Laboratory Pathology
Canadian scientist steals specimens, caught by U.S. Customs agent at the border
Laboratories are invariably out of the public eye—until there is a problem. In Canada, The Canadian Press reported earlier this year that audits had uncovered serious flaws in the tracking and accountability of dangerous pathogen specimens at federal laboratories. In response, the Public Health Agency of Canada (PHAC) called for increased security measures governing bio-safety at government laboratories.
These problems were identified at the nation’s National Microbiology Laboratory, located in Winnipeg. Earlier in the year, this lab played the lead role in testing swine flu (Novel A/H1N1) samples and mapped the progression of this flu strain from Mexico to Canada. Other labs visited and found lacking in full protection of pathogen specimens included the Laboratory for Foodborne Zoonoses in Guelph, Ontario, and federal satellite labs in Alberta and Quebec.
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Dec 2, 2009 | Laboratory News, Laboratory Pathology
Consolidation continues in the lab testing sector that serves physicians’ offices
Last week it was disclosed that the health system which owns Centrex Clinical Laboratories, Inc. is selling its laboratory testing business to Laboratory Corporation of America (NYSE: LH ). Faxton-St. Luke’s Healthcare stated that it expected the transaction would be finalized by the end of the year.
Several times in recent years, Faxton-St. Luke’s Healthcare shopped Centrex Clinical Labs to interested buyers. For that reason, news of the sale to LabCorp did not surprise informed observers.
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Nov 4, 2009 | Laboratory News, Laboratory Pathology
Nine of the 10 largest medical groups are located on the East and West coasts
When it comes to the list of the 20 largest physicians groups in the United States, Kaiser Permanente is at the top. With 7,000 physicians, Permanente Medical Group in Northern California is the nation’s largest. Number two is Southern California Permanente Medical Group, based in Pasadena, California. At number 20 is the University of Indiana School of Medicine with 1,481 physicians.
This list was prepared by the Medical Group Management Association (MGMA) and published in Modern Healthcare . One interesting fact is that all but one of the 10 largest medical practices are located on the east or west coast. Overall, six of the top 20 medical groups are located in the Midwest, one in Texas, and the rest in coastal cities.
There are 51, 280 physicians practicing in the nation’s 20 largest medical groups. This represents about 6.4% of the 800,000 physicians licensed in the United States – P. Kirk
20 Largest Medical Groups:
| RANK – GROUP |
# OF DOCTORS |
CITY |
| 1. Permanente Medical Group |
7,000 |
Oakland |
| 2. Southern California Permanente Medical Group |
6,400 |
Pasadena |
| 3. Bellevue Hospital Center |
4,000 |
New York |
| 4. University of Medicine & Dentistry of Newark |
2,816 |
Newark |
| 5. Albert Einstein College of Medicine of Yeshiva Univ. |
2,775 |
New York |
| 6. University of Pittsburgh Medical Center |
2,700 |
Pittsburgh |
| 7. Johns Hopkins University |
2,694 |
Baltimore |
| 8. Columbia University Medical Center |
2,189 |
New York |
| 9. David Geffen School of Medicine at UCLA |
2,000 |
Los Angeles |
| 10. Mayo Clinic |
1,995 |
Rochester |
| 11. University of Washington Medicine |
1,830 |
Seattle |
| 12. Northeastern Ohio Univ. Colleges of Med & Pharmacy |
1,800 |
Rootstown |
| 13. University of Michigan Health System |
1,746 |
Ann Arbor |
| 14. Massachusetts General Hospital |
1,746 |
Boston |
| 15. University of Pennsylvania Medicine |
1,700 |
Philadelphia |
| 16. Baylor College of Medicine |
1,607 |
Houston |
| 17. University of Illinois Medical Center at Chicago |
1,604 |
Chicago |
| 18. Northwestern Memorial Hospital |
1,600 |
Chicago |
| 19. Winthrop University Hospital |
1,525 |
Mineola |
| 20. Indiana University School of Medicine |
1,481 |
Indianapolis |
| Total all physicians from all groups: |
51,208 |
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| Source: MGMA, Englewood, Colorado |
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Related Information:
Largest medical group practices
Is Integration in Large Medical Groups Associated With Quality? (PDF)
Benefits of and Barriers to Large Medical Group Practice in the United States (PDF)
Aug 21, 2009 | Laboratory Management and Operations, Laboratory News, Management & Operations
It’s the second acquisition of a hospital lab outreach program in past six days
Several days ago, a two-part deal was announced between Quest Diagnostics Incorporated (NYSE:DGX) and Caritas Christi Health Care of Boston, Massachusetts. Caritas sold its clinical laboratory outreach business to Quest Diagnostics and both parties formed a “strategic alliance” going forward that centers upon laboratory testing and informatics integration. Caritas will continue to own and manage the laboratories in its six hospitals.
This is the second sale of a hospital laboratory outreach business in the past two weeks. On August 12, Sonic Healthcare (SYD:SHL) acquired Piedmont Medical Laboratories (PML) of Winchester, Virginia. PML was owned by Valley Health, an eight-hospital health system. (See Dark Daily, ‘Sonic Healthcare’s Latest Lab Buying Spree Nets Two U.S. Labs for $20 Million”, August 13, 2009.)
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