And only one post…clearly I’ve been slacking. Time to catch up!
There’s been much discussion of the implications of the demise of the APAX-Coventry Work Comp Services deal; CWCS staff seem to have mixed views, but most are concerned that parent Aetna will continue its non-investment “strategy”, allowing the business to slowly fade.
It would be a mistake to attribute this to some nefarious plan and dark-hearted souls.
Work comp is – at best – tangential to Aetna’s Medicare, Medicaid, group and individual health businesses. Any time spent focusing on WC is time not invested in much more important things.
Conversely, Coventry is anything but “tangential” to many work comp payers. For many, CWCS is the integrator, bill processor, document manager, provider network, case manager or some combination thereof. With medical expense accounting for 3/5ths of claims costs, payers with close ties to CWCS will be watching developments very, very closely.
While we’ve been focused on the Coventry-APAX deal, we haven’t been hearing about other transactions. There are a couple other potentials out there, but if anything the deal flow has been markedly slower, partially because there just aren’t that many more deals to be done. We may well see activity pick up again now that there’s more clarity around what would have been a blockbuster transaction.
Lots of good news this Friday – thanks to lots of good people…
While many of us have been focused elsewhere, two organizations have been doing their part to secure the future of work comp. IAIABC just announced grants to two women to help them continue their workers’ compensation studies - congratulations to Chamila Adhihetty of Toronto, Ontario and Suzette Carlisle of St. Louis, Missouri – and to IAIABC for their foresight.
Coincidentally, Healthcare Solutions will be hosting the inaugural Women in Workers’ Comp Forum on Tuesday, November 18 just before the NWCD Conference in Las Vegas. Registration is free, and the event is proving to be quite popular. Sign up soon here. Kudos to HCS’ SVP Elaine Vega for the idea, and to CEO Joe Boures for enthusiastically supporting it.
WorkCompCentral is focusing on the top performers in California’s comp system – physicians, attorneys, expert, employer, claimant, regulator - with their Comp Laude(tm) Awards. Nominate your pick here.
One of the finest people in this business is Chris Brigham, MD. Chris has just released a most excellent book – Living Abled. He wrote the book to help those dealing with potentially disabling conditions navigate the system, find and use resources, and take charge of their injury or illness. While individuals can order the book themselves, payers may well want to consider giving it to every claimant. Disability is more about attitude than physical limitations, and Living Abled will help people think clearly about what they can do.
The good folk at WCRI have been marching along, publishing even more research on issues critical to the industry. A webinar on predictors of worker outcomes is coming up on October 16; sign up here now as there are only 100 slots…
Also just out is a study of what’s happened in Georgia since the Peach State imposed pricing controls on physician-dispensed drugs (spoiler alert – prices dropped significantly after the reform, but doc-dispensed drugs are still much more expensive than the same pills purchased at a drug store).
My view is the dispensing profiteers seek out drugs from suppliers who inflate the pills’ AWP (the basis for the fee schedule), then turn around and sell them to the docs at a deep discount below AWP – thereby making millions for docs and dispensing companies, and costing employers and taxpayers those same millions.
Read the study and come to your own conclusions.
Broadspire Medical Director Jake Lazarovic M.D. just published an interesting paper on Accountable Care Organizations and Workers’ Comp. Download it and read it on your next flight; it’s an excellent synopsis and poses intriguing questions.
Enjoy the weekend – and remember to
A – turn off the work email.
B – Put your “away” message on work voice mail.
C – Enjoy the fall weather!