Merging Partners, Mass. Eye and Ear Would Raise Costs

This blog I chose to write about an article from the Boston Globe titled, “Merging Partners, Mass. Eye and Ear would raise costs, watchdog says.” Partners HealthCare, Massachusetts largest health care network, is in the process of working out a deal with Mass. Eye and Ear. If this deal goes through it will raise health care spending statewide from $20.8 million to $61.2 million a year. The Health Policy Commission fears the rise in spending will impact consumers because of higher premiums. While the commission cannot block this deal from happening it can refer to the Attorney General who can take legal action. Spokespeople from both companies have said the combination will have no impact on consumer’s costs but will further improve the quality of care at Mass. Eye and Ear because of the Partners Network.


The decision made by Partners to combine with Mass. Eye and Ear adds to a long list of other partnerships such as Massachusetts General and Brigham and Women’s. Partners network is growing but what are the consequences of a merger. Partners has long been criticized for using higher payments from insurers and driving up health care costs. Costs play a large role in where people chose to go to receive care. If this merger causes costs to go up can Mass. Eye and Ear still afford to pay salaries to doctors and staff or will a pay cut have to be made to make up the difference in spending.

Comments

  1. I think the fear is the MEEI will have more market power and raise prices for patients. The issue would not be whether docs can be paid.

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  2. I agree with Professor Bonica on this subject. Unfortunately, it seem that the cost is passed on to the patient the majority of the time.

    ReplyDelete

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