Archive for March 27th, 2008

Possible Fix to the PPO Mess In Louisiana

Thursday, March 27th, 2008

As we all know, Louisiana has been an absolute mess in recent years when it comes to medical cost containment in the workers’ compensation arena.  Yet, finally, there is a bill in Louisiana that may solve the problem of not being able to take PPO discounts.

SB 545, http://www.legis.state.la.us/billdata/byinst.asp?sessionid=08RS&billid=SB545&doctype=ALL  attempts to allow for the application of PPO workers’ compensation discounts.  Specifically, the bills states “ Nothing herein shall be construed or interpreted to prevent the insurer from entering into agreements with preferred provider organizations which provide or fees and other payments which deviate from the schedule set forth in this section.”  Hopefully, this bill will pass and finally take care of this issue and allow for medical cost containment measures.

This bill also states that the employee or claimant shall be notified by the insurer that a PPO network is in place via a letter.  This notification letter notifying the employee of the PPO, will then be taken to their provider at the time of treatment.  Unfortunately, the employee can still choose any provider they want for treatment.

It’s certainly not a perfect bill, but it just might be the fix for workers’ compensation PPO issues in Louisiana.