A healthcare insurance company submits a proposed contract to a medical provider. The payments in the proposed contract are 20-40% lower than any other third-party payer, and the insurance company refuses to negotiate. This insurance company is used by 9% of the medical practice's patients. Which of the following is the best option for the facility?
A) Contact other local medical facilities and negotiate together.
B) Do not sign the contract and write a letter to the affected patients.
C) Sign the contract if the payments are close to average marginal costs per patient.
D) Sue the healthcare insurance company.

Question

Quizplus · Accepted Answer

The best option is to not sign the contract and inform the affected patients, as the payments are significantly lower and the insurance company is not willing to negotiate. This allows the facility to maintain financial stability and transparency with patients.

A Healthcare Insurance Company Submits a Proposed Contract to a Medical