California Medical Group – IPA Merges with a Dialysis Firm – Deal Value $4.4 Billion

Healthcare Partners, Torrance, CA, one of the nation’s largest physician organizations, a medical group and IPA with 152 medical clinics and offices, has entered into an agreement to merge with DaVita, Inc. in a $4.4 billion deal.

The physician organization serves some 700,000 patients in three states, Southern California, Central Florida, and Southern Nevada.

Healthcare Partners Medical Group comprises 700 primary care and specialists and the organization’s IPA has 900 contracted primary care and 3000 specialist physicians.

DaVita, a provider of kidney care services runs dialysis clinic specialist.

Over the years the MCIC has been covering Health Partners and its growth for ongoing research for the National Directory of Physician Organizations Database.

Links: http://www.healthcarepartners.com/

http://www.healthresourcesonline.com/managed_care/23poe.htm

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New Physician Organization Leadership Survey Seeks Insight – Opinion

The Managed Care Information Center periodically conducts our Physician Organization Leadership Survey to identify the issues, challenges and opportunities today for physician organizations.

We are seeking survey responses from those engaged in the management and administration of or who are members of such physician organizations as IPAs, PHOs and MSOs.

For your participation in this brief survey, we will send you free an executive summary of the analyzed results.

What are the ‘looming’ challenges? Any opportunities? What is the most pressing concern from your perspective?

The survey only takes a few moments. You do not have to identify yourself if you choose.

As you know, survey results are reported in the Managed Care Information Center reports, in our Managed Care Weekly Watch, as well as the MCIC Blog, Facebook and Twitter and are posted at our website.

To participate in this survey, go click on this link now: http://bit.ly/JhFn9o

If you are connected with executives of members of PHOs, IPA or MSOs, please let them know about this survey.

More Than 550 Thousand Physicians Now Belong To Physician Organizations – IPAs and PHOs

Some 303,959 primary care physicians are members of either an independent practice association or a physician hospital organization, according to our research for the National Directory of Physician Organizations Database.

Specialists account for 258,032 of the total physician organization membership, the research has found.

The research on the ‘niche’ physician organization market includes 2012 -2011 data.

There also has been both growth and consolidation in the physician organization market the Managed Care Information Center studies have found.

With their size, the physician organizations can and are becoming the driving force in helping their physician members adopt electronic health or medical records and investigate whether an accountable care organization should be in their future.

Today, there are 500 Independent Practice Associations (IPAs) that have been identified. Physician hospital organizations (PHOs) comprise 570 of the physician organizations while primary care networks number 85, the research has found. The database also includes information on 131 of the larger multi-specialty medical groups.

PHOs, IPAs, management service organizations (MSOs) and physician practice management companies (PPMCs) have been closely tracked and researched by the Managed Care Information Center in connection with the production of the National Directory of Physician Organizations Database on CD-Rom.

The database also contains business information on management services organizations and practice management companies.

Research Source:  The National Directory of Physician Organizations Database produced by the Managed Care Information Center https://www.healthresourcesonline.com/payer-provider-data/the-national-directory-of-physician-organizations-database-on-cd-rom.html

1-800-516-4343

Will large numbers of physician organizations or physician groups develop an accountable care organization?

Will large numbers of physician organizations or physician groups develop an accountable care organization?

“No.  Although an important component to a successful ACO, physicians will not have the infrastructure needed to develop an ACO,” a Regional Network Manager with a health plan told us in our Managed Care Leadership Survey.

“Physicians want to own healthcare but they have no infrastructure or expertise on the risk side of healthcare,” a consultant said.

“The emphasis on integration, EMR, quality and payment require a solid infrastructure which is beyond the capacity of most physicians per se,” said another consultant.

Said another respondent: “Most do not have the infrastructure, resources or expertise necessary to lead the development.” Few have the motivation.”

“We need provider buy-in and that doesn’t happen quickly,” according to a health plan manager of strategic growth.

Only a small number of physician organizations/groups “have the capital to develop an ACO without getting into the pockets of insurance companies,” said another senior consultant.

The survey is conducted by the Managed Care Information Center, which produces the National Directory of Physician Organizations Database.

http://wp.me/pHknO-v

ACOs Give New Life And Seen As A Second Chance For IPAs

A news article in the latest edition of American Medical News looks at the state of independent practice associations (IPAs.)

“After going bust in the 1990s, independent practice associations have become more appealing to physicians,” wrote reporter Victoria Stagg Elliott.

The article, using IPA data provided by the Managed Care Information Center, said “Independent practice associations are poised for a comeback as physicians seek to unite with larger systems, particularly for the purpose of forming accountable care organizations.”

There are a total of some 500 IPAs, that MCIC research has uncovered and 570 physician hospital organizations (PHOs), according to research for the National Directory of Physician Organizations Database.

The database also include business information and contact details on 85 primary care networks and 131 multi-specialty medical groups, said Robert Jenkins, CEO of the MCIC.

IPA physician membership across the country is 128,329 primary care physicians and 144,080 specialists, according to MCIC data.

PHO membership, meanwhile, includes 151549 primary care physicians and 76,946 specialists, the research found.

                 “Physicians need to be in charge of this”

“People in the IPA industry say the number of such organizations is going up in part because of interest from some doctors. These physicians don’t want to give up control by selling their practices to a hospital or a larger practice, but want some of the benefits of a larger organization,” said the American Medical News article.

For the full article, visit: http://www.ama-assn.org/amednews/2011/06/06/bisb0606.htm

For details on the National Directory of Physician Organizations Database visit: http://www.healthresourcesonline.com/payer-provider-data/the-national-directory-of-physician-organizations-database-on-cd-rom.html

Inside Report: IPAs – PHOs Definitely Worth Another Look

Independent practice associations (IPAs) and physician hospital organizations (PHOs) have risen to a prime position in the healthcare provider market, especially in recent months.

Imagine physician organizations were written off for dead just a few years ago. Impatient for successful results, hospitals and physicians were shutting down their PHO partnerships.

The smaller IPAs just faded away – just another healthcare ‘gimmick.’ A failed idea.

So the overall numbers of physician organizations has shrunk in terms of numbers of organizations, according to our research results for the National Directory of Physician Organizations Database, produced by the Managed Care Information Center.

But the PHOs and IPAs with sharp leadership stuck with it. And, today they are stronger and importantly positioned to be significant players in today’s changing provider arena.

First the major IPAs across the country proved that they were indeed viable. Led by sharp executives and leadership, patients and health plans and their members came.

“If you build it they will come.”

After a few battles with the federal trade commission physician organizations got the FTC’s green light for clinical integration initiatives.

The exploding wave of pay-for-performance programs reinforced that IPA and PHO member physicians could ramp up their quality of care measures and patient satisfaction numbers.

Because of the success of IPAs, there has also been a wave of consolidation further strengthening their position in the marketplace.

Health and managed care executives have told us about what’s shaping today’s market.

“Health Reform…it is changing the entire playing field; Significant changes in the relationships between payors, providers and patients due to health reform; tiered networks that exclude academic medical centers; Continuing movement from government and payors to P4P programs (heavy emphasis on quality); and, P4P will be easier for large carriers to implement than any real payment reform,” were among just a few of the observations shared by participants in the Managed Care Leadership Survey.

Now, even as rules governing accountable care organizations have just been proposed by the Centers for Medicare and Medicaid Services (CMS) physician organizations in several sections of the country have been out-of-the-gate first.

Physician organizations now have as physician members a major number of the practicing primary care and specialist physicians in the country.

And, as they continue to bulk up, physician organizations are having to upgrade their infrastructure, IT systems, and processes.

A rising tide does indeed float all boats; at least the IPA and PHO crafts.

Bob Jenkins

Bob Jenkins is the CEO of the Managed Care Information Center.

Research source: The National Directory of Physician Organizations Database

http://www.healthresourcesonline.com/payer-provider-data/the-national-directory-of-physician-organizations-database-on-cd-rom.html

Copyright 2011, The Managed Care Information Center, 1913 Atlantic Avenue, Ste 200, Manasquan, NJ 08736  (800) 516-4343

Accountable Care Organizations – Shaking up the Medicare Reimbursement Status Quo Big Time

CMS is supposed to issue proposed regs governing ACOs this fall.

Then, expect the first ACOs to begin operating in January 2010 – just 15 months away!

We have organized an education program on ACOs this Thursday. Should be an eye opener.

Healthcare providers, hospitals, PHOs and IPAs and others, payers and even vendors need to be aware of the implications for the market and competition in the new ‘hot issue’ era of ACOs.

Hospitals, PHOs, IPAs and other physician organizations, networks or group practices need to make some quick decisions about ACOs.

If your organization is considering creating an ACO, you have no time to lose.

About the program – “Accountable Care Organizations: The Opportunities and the Risks,” a new management education audio webcast briefing, this Thursday, Sept. 30, 2010 from 1:30 PM – 2:30 PM EDT.

For details click on: http://www.healthresourcesonline.com/edu/Accountable-care-Organizations.htm