Kaiser Permanente Announces Management Changes
Oakland-based HMO Kaiser Permanente officials on Thursday announced plans for a "management overhaul," including a new electronic medical record system and new insurance products, the Sacramento Bee reports. In an internal memo, Kaiser officials said one motivation for the restructuring is to implement "deductible plan products," which would be "markedly different" from the HMO plans Kaiser currently offers, according to the Bee. Last year, Kaiser announced plans to market a preferred provider organization plan; as of last fall, it had about 6,000 members statewide enrolled in its PPO. Kathleen McKenna, a Kaiser spokesperson, said the company has "no immediate plans" to formally offer a PPO plan in Sacramento, according to the Bee. However, McKenna said it could be a possibility "in the near future." Officials also announced that the HMO will replace six regional management teams with 11 local service areas, most of which will include one or two hospitals. Under the new management plan, Kaiser Medical Center in Sacramento, Kaiser South Sacramento Medical Center and Kaiser Roseville Medical Center will become one local service area, and senior executive Ed Glavis will continue to oversee the three facilities, the Bee reports (Rapaport, Sacramento Bee, 3/19).This is part of the California Healthline Daily Edition, a summary of health policy coverage from major news organizations. Sign up for an email subscription.