Sutter Withdraws From Contracting Network
Sutter Health has decided it will not make hospitals available through PPO and other plans offered by Kaiser Permanente because of concerns about increased competition from Kaiser, the San Francisco Business Times reports.
Kaiser is working to introduce health plans beyond HMO coverage in California and other areas and plans to make other hospitals and physician groups available to its members through Private Healthcare Systems contracting network.
Sutter spokesperson Bill Gleeson said that beginning Nov. 28 Sutter care providers would not be available to Kaiser members through the contracting network.
A health care consultant who wished to remain anonymous said Sutter's withdrawal from the contracting network would "almost take Kaiser out of the PPO market" in Northern California because of Sutter's presence in the region. Sutter operates 26 hospitals in Northern California (Rauber, San Francisco Business Times, 11/17).