Blue Cross Follows In Rivals Footsteps By Snapping Up Doctors Practices
A decade ago, the notion of insurers owning physicians groups was fairly unusual, but it's now a trend as health care companies look to contain costs. Other health industry news focuses on physicians groups, Johnson & Johnson's court woes, and intellectual property battles.
Modern Healthcare:
Blue Cross Joins The Doctors Practice Party
If you can't beat 'em, buy 'em: It's a mantra health insurance giants like UnitedHealth Group and Humana have embraced for years as they've snapped up doctors practices to curb the cost of medical care. Now the parent of Blue Cross & Blue Shield of Illinois is getting into the game. Health Care Service Corp., which owns Blue Cross plans in five states, is following its rivals' lead, opening 10 primary care clinics in Texas next year and, in Pullman, launching a neighborhood center that offers everything from workshops on managing heart disease to yoga and meditation classes. (Goldberg, 5/21)
Modern Healthcare:
Physician Groups Slowly Taking On More Risk
Physician groups derived a larger share of revenue from payment models requiring them to take on risk in 2018 than in previous years, according to a survey by the AMGA. The survey of 75 multispecialty medical groups, integrated delivery systems and independent physician associations showed that 56% of respondents' federal program revenue came from value-based payment models in 2018. That's up from 45% in 2015. (Livingston, 5/21)
Bloomberg:
Johnson & Johnson Loses $25 Million New York Talc Verdict
Johnson & Johnson was ordered to pay at least $25 million to a woman who said she contracted a rare asbestos-related cancer through decades of daily use of J&J’s Baby Powder or its other talc product, Shower to Shower. The New York verdict for plaintiff Donna Olson, 66, and her husband against J&J and its consumer-products unit only reflects the award of compensatory damages. Jurors will return next week to consider assessing punitive damages against the companies over their mishandling of the talc products. (Fisk and Feeley, 5/21)
Stat:
MIT Professor Accused Of Claiming Others’ Scientific Discoveries As His Own
MIT professor Ram Sasisekharan made his name on the idea that algorithms and computer models could lead to better and more potent therapies, a promise that launched three biotech companies and attracted hundreds of millions of dollars. But two treatments purportedly discovered with Sasisekharan’s computational approach are almost identical to compounds that had previously been described by other labs, according to a new paper by outside researchers. The finding casts serious doubts on the integrity of Sasisekharan’s research, the authors claim. (Garde, 5/21)
