Direct contracting: a Minnesota case study

During 1996, HealthEast Care, Inc., a healthcare provider-owned and governed direct-contracting company, successfully responded to a request for proposal from the metropolitan Minneapolis-St. Paul-based Buyers Health Care Action Group (BHCAG), a coalition of self-insured employers, to provide health...

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Bibliographic Details
Published in:Healthcare financial management 1997-08, Vol.51 (8), p.50-55
Main Authors: Burrows, S N, Moravec, R C
Format: Article
Language:English
Subjects:
Ambulatory care
Budgets
Business associations
Case studies
Commercial associations
Competitive Bidding
Contracts
Delivery of Health Care, Integrated - economics
Delivery of Health Care, Integrated - organization & administration
Employers
Enrollments
Federal employees
Fee-for-Service Plans
Group medical practice
Health administration
Health Benefit Plans, Employee - economics
Health Benefit Plans, Employee - legislation & jurisprudence
Health Benefit Plans, Employee - organization & administration
Health care
Health Care Coalitions
Health care delivery
Health care industry
Health care networks
Hospitals
Institutional Management Teams
Managed care
Medical care
Minnesota
Models, Organizational
Open access
Physicians
Reimbursement
Teams
Workers compensation
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Summary:During 1996, HealthEast Care, Inc., a healthcare provider-owned and governed direct-contracting company, successfully responded to a request for proposal from the metropolitan Minneapolis-St. Paul-based Buyers Health Care Action Group (BHCAG), a coalition of self-insured employers, to provide healthcare services to members of BHCAG's Choice Plus health plan. HealthEast Care developed a care system proposal for BHCAG that balanced consumer and purchaser expectations with historical healthcare costs. Providers are reimbursed for contracted healthcare services according to a unique fee-for-service, budget-based payment model. BHCAG chose to contract with HealthEast Care and 23 other care systems in the metropolitan Minneapolis-St. Paul area and other parts of Minnesota to serve more than 117,500 Choice Plus enrollees.
ISSN:0735-0732
0735-0732