|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
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.