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Home / News & IndustryManaged Care Insight and Analysis
Updated: November 2, 2010
National PPO Group Breaks Silence On Silent PPOs

The American Association of Preferred Provider Organizations (AAPPO) unveiled a comprehensive white paper on "silent PPOs" during the organization’s 2010 Annual PPO Forum, further clarifying its stance in opposition to them in 2000.

"In the past few years, there has been a lot of false and inaccurate information circulating about PPOs," said Karen Greenrose, president and CEO of AAPPO.

A silent PPO is a business entity that applies discounts to payments for provider services without a contractual right to do so, without having honored the obligations to the provider and without appropriate notice to the provider. In many cases, the PPO whose discount is being accessed, as well as the provider, may be unaware of such access

The current white paper statement "underscore(s) the positive contributions that the PPO industry provides to the 193 million Americans who are enrolled in PPOs," Greenrose said.

It provides clear explanations of what constitutes a PPO versus a silent PPO, the fundamentals of the contract between providers, payers and/or preferred provider networks (PPNs), what some of the common misperceptions are about silent PPOs, as well as what AAPPO has done and is continuing to do to minimize – and hopefully eliminate – the negative impact of silent PPOs on the health care industry as a whole.

AAPPO also collaborated with the American Medical Association to develop a provider contracting toolkit to provide education materials on provider contracting,.

Address: American Association of Preferred Provider Organizations, 222 S. First Street, Suite 303, Louisville, KY 40202; (502) 403-1122, www.aappo.org.


  This article was taken from:
The Executive Report on Managed Care

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