Aug 16, 2024, 12:00 AM
Aug 16, 2024, 12:00 AM

From the Folks Who Brought You the Death Panel Algorithm

Provocative
Highlights
  • Steward Health, a bankrupt hospital chain, sold its physician network to Rural Healthcare Group, a private equity firm.
  • Patients have faced coverage denials from NaviHealth, leading to premature discharges and health complications.
  • The acquisition raises concerns about the future of primary care and the implications of private equity involvement in healthcare.
Story

Steward Health, a bankrupt hospital chain, sold its physician network, Stewardship Health, to Rural Healthcare Group, a private equity firm. This acquisition raises concerns about the future of primary care in America, especially given the troubling backgrounds of the new management team. The transition comes amid ongoing issues with coverage denials faced by patients, highlighting the challenges within the healthcare system, particularly for seniors reliant on Medicare Advantage plans. NaviHealth, a company involved in managing patient care, has been criticized for its practices of denying coverage based on algorithms that consider patient demographics and medical histories. Many patients, like Martin and Perry, have experienced abrupt coverage denials, leading to premature discharges from rehabilitation facilities, which often result in further health complications and hospitalizations. The competitive landscape of healthcare has intensified, with major players like UnitedHealth aggressively acquiring physician networks to expand their reach and control over patient care. This trend has raised alarms among analysts and observers, particularly regarding the implications for patient access to care and the quality of services provided. The ongoing disputes, such as those involving CareMax and Steward, underscore the complexities and potential conflicts of interest in the healthcare market. As private equity continues to play a significant role in healthcare acquisitions, the long-term effects on patient care and the sustainability of these practices remain uncertain.

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