Intrepid incentive plan gears employees away from CMC
The decision to offer that type of incentive plan to employees was made because of what the company describes as drastically high medical rates at CMC.
"We would prefer to have our employees be able to obtain quality, competitively priced health care close to where they live, but we have been unsuccessful in getting the hospital to reduce their rates to a competitive level," said
The new insurance plan was announced and presented during the company's open enrollment meetings throughout April.
"It's just unfortunate, really, that Intrepid has decided to go forward with this," Suggs said. "You want people to support the local economy."
Whyte said that the plan offers both cash incentives and travel reimbursement to encourage employees to obtain in-patient and out-patient services from outside of the
Whyte said that such actions are being taking by Intrepid because the company will not continue to pay high rates at CMC when less expensive rates can be found in surrounding communities.
On average, Intrepid believes it would be less expensive to pay for an employee to seek medical treatment in Lubbock, which would include transportation reimbursement and hotel fees, then it is to seek medical treatment at CMC.
"The hospital is often two to seven times more expensive for procedures that can be obtained in
Whyte said that after looking at a wide range of procedures, Intrepid concluded that paying for medical attention at CMC was not worth the cost.
Whyte said one Intrepid employee received comparative quotes for a gall bladder removal.
The procedure at CMC was quoted at
"While there may be variances between the charge of some procedures, reimbursements are generally comparable across providers," a CMC statement said. "We have had additional conversations with Intrepid and are willing to continue working with them (
Suggs said that different factors can affect medical rates.
"It depends on the procedure, it depends on your carrier and your coverage," Suggs said.
In a statement, CMC touted it's dedication to the
"If someone comes to us and doesn't have insurance, it is our duty as a hospital to provide service to that person, regardless of their ability to pay," Suggs said.
Suggs, said every time the hospital provides services without being paid, it can have an effect on the rates.
But
With more than 500 employees in
"We are trying to do everything as a company to control costs, and costs in
Mosaic has not made a move like
"Are we considering some of the things Intrepid is doing? Absolutely," Armani said. "I applaud what Intrepid is doing, but what about everyone else in
Armani estimated that, comparing
However, Armani also said that in general, Mosaic pays more for employee medical cost in
In 2014, a study by the
However,
"The people in that market really don't have options. They could drive elsewhere for services, but some situations you just can't," Armani said.
As one of the larger employers in
"Everyone who goes to the hospital is having these issues," Whyte said. "That's why it's a community issue."
___
(c)2015 the Carlsbad Current-Argus (Carlsbad, N.M.)
Visit the Carlsbad Current-Argus (Carlsbad, N.M.) at www.currentargus.com
Distributed by Tribune Content Agency, LLC.
Shasta County’s drivers cause aggravation but others in state are worse
Advisor News
Annuity News
Health/Employee Benefits News
Life Insurance News