Here are seven news updates for ambulatory surgery center leaders to know for July 9, 2015.
1. Cigna files multimillion-dollar suit against 11 ASCs
Cigna Health and Life Insurance Co., filed a billing fraud suit in federal court attempting to recoup millions paid to 11 Indiana-based surgical centers allegedly participating in a "fee forgiveness" model to attract Cigna's out-of-network patients, according to a Law 360 report. Cigna claims the surgery centers attracted out-of-network members by reducing the members' copays and other fees but charging Cigna inflated prices to recoup losses, according to the report. Read the full report on Becker's ASC Review
2. Patients more likely to chose ASCs when they can cost compare
Patients chose ambulatory surgery centers over hospital outpatient departments for cataract removal surgery when they were made aware of the costs of care, according to a study published in Health Affairs, funded by AHRQ. The study found that the shift to reference-based benefits for CalPERS patients was associated with an increase of 8.6 percent in ASC use as compared to trends among Anthem enrollees.
3. GOP blames healthcare mergers on PPACA
A number of Republicans are now blaming the Patient Protection and Affordable Care Act for encouraging healthcare mergers among insurers, according to a report by The Hill. According to Senate Majority Leader Mitch McConnell, a Republican, the new regulations put in place by the PPACA make it difficult for smaller companies to survive.
4. Excelsior Orthopaedics to officially break ground on $9.5M ASC
Excelsior Orthopaedics, based in Buffalo, N.Y., will officially break ground on its new, $9.5 million ambulatory surgery center in Amherst, N.Y. The new surgery center will be one story and 27,175 square feet, with an expected opening in January 2016.
5. Orland Park approves new outpatient center
Orland Park trustees gave approval for plans to build the new University of Chicago Medicine building in the village's downtown area, according to the Chicago Tribune. The University of Chicago Medicine — Center for Advanced Care will be approximately 110,000-square-feet.
6. Physicians Realty Trust acquires Laser & Surgery Center of the Palm Beaches for $14M
Physicians Realty Trust, a self-managed healthcare real estate investment trust based in Milwaukee, has acquired the Laser & Surgery Center of the Palm Beaches in Palm Beach Gardens, Fla., according to The Real Deal. The surgery center houses seven operating rooms, two procedure rooms and 18 recovery areas. Physicians Realty Trust acquired the facility for $14 million.
7. Chinese developers race to lucrative healthcare sector
Chinese developers are rapidly pursuing growth in the healthcare market; an industry they believe will be their next lucrative opportunity. According to a recent Bloomberg piece, China is expanding at its slowest rate since 1990, but is still the second-largest economy in the world. Developers deep in debt are tapping healthcare as an alternative, according to the article.
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