topTPA Briefing
October 2009
logo
About The Alliance TPA Briefing
Most Additional Discounts are Prohibited for Claims Repriced by The Alliance
Significant Discounts on Stop-Loss Rates
BabyLove for a Healthy Baby
Health Solutions, Ltd Partnership
New Spanish Resources from AHRQ
News You Can Use
Quality and Cost in Hospital Care: Separating the Truth from the Fiction
Alliance Provider Update
About The Alliance TPA Briefing
retailMost Additional Discounts are Prohibited for Claims Repriced by The Alliance

The Alliance's progressive provider contracting methodologies are designed to help our members save on health care costs now and protect them against excessive increases in the future. In doing so, we apply various contracting methodologies to achieve an overall 27.3% health care cost savings to our employers. When an employer joins The Alliance, our membership agreement requires the employer to honor The Alliance's reprice amount as the true allowable for services received by their plan participants.
 
Our provider contracts also require that payors base payments on The Alliance repriced amounts. Alliance providers are not required to honor additional cutbacks to Alliance repricing by TPAs or reinsurers, and the patient may be billed for any amounts not paid by the plan, up to the total reprice amount.  
 
Examples of inappropriate cutbacks reported to us by providers include TPA reductions for multiple procedures, assistant-at-surgery and anesthesia claims. We apply all applicable reductions when the claim is repriced, and the absence of a modifier such as -51 does not indicate that multiple procedure logic has not been applied by The Alliance.
 
Where appropriate, modifier adjustments are applied according to the table below. Our adjustment factor is based on industry standards and contracts require providers to accept the adjustments we apply.

Surgical Modifiers

Adjustment Factor %

22

Varies by contract

50

150%

51

50% for secondary, tertiary, etc. CPT code when appropriate

54

70%

55

30%

56

10%

62

62.5%

68

70%

78

70%

80 or AS

20%

81

10%

82

20%

SG-51

50%

Anesthesia Modifiers

 

AA

100%

QK

50%

QZ

100%

QX

50%

QY

50%


 
Looking for more information regarding The Alliance claims repricing policies and procedures? The Alliance Third-Party Administrator (TPA) Toolkit provides all the answers! You can download the 2009 version from our Web site or contact Carlene Boehmer at cboehmer@the-alliance.org to request a copy. 
healthsolutionsSignificant Discounts on Stop-Loss Rates
Members of The Alliance are able to access discounts on stop-loss rates. We are able to bring members this preferred pricing by leveraging the collective purchasing power of our cooperative. 
 
More than thirty-five carriers have agreed to offer discounts for employers that are members of The Alliance. The discounts are based on a thorough evaluation of our contract effectiveness with health care providers and facilities.
 
For more information on stop-loss discounts, please contact Tierney Jensen, 800.223.4132, x 6642.
BabyLove for a Healthy Baby
Preparing for a baby is a very special time. That's why The Alliance offers BabyLove, a special program to help those at member companies start their pregnancy off the healthy way.
 
The best part is members don't have to do anything to offer BabyLove. To use the program, their employees simply call 608.276.7584, Monday - Friday, 8 a.m. to 4:30 p.m. The program includes:
  • A free, confidential health risk screening, conducted by a registered nurse. The nurse provides coaching on what to be aware of during pregnancy and if a pregnancy may be high risk. 
  • General self-care information to promote good health during pregnancy.
  • Information about other resources. 
  • A free copy of What to Expect When You're Expecting, What to Expect-The First Year, or What to Expect the Toddler Years

For more information, visit the BabyLove Toolkit.

Health Solutions, Ltd® Partnership
As mentioned last month, The Alliance recently partnered with Health Solutions, Ltd.® to offer a complete suite of wellness solutions. They were chosen through a group purchasing process led by Alliance members.
 
The committee first identified 20 criteria to compare potential vendors against one another. These were turned into a request for information (RFI) which was sent to different wellness vendors. Of those that responded, four were chosen as finalists. The finalists made presentations to the committee and their references were checked.
 
In the end Health Solutions, Ltd.® was chosen for a number of reasons, including strong references. Committee members valued their complete package at what was considered a reasonable price. One other factor was that they are headquartered in Wisconsin, allowing them to interact more directly with organizations and their employees.
 
Health Solutions, Ltd.® coaching staff, which all have at least a minimum of a bachelor's degree in a health or wellness field, was seen as another positive. Coaches include health promotion and wellness experts, Certified Health Education Specialists (CHES), physical trainers, and RNs and are certified by the American College of Health Coaches. 
 
 
Other positive mentions by references included:
  • Web content
  • Ability for participants to self-report biometrics when filling out the health risk assessment (HRA) form.
  • Availability of coach to come onsite to introduce themselves to participants before telephonic coaching begins
  • "Health Solutions identifies the three largest health issues with the company and helps coordinate programs on the three largest risk factors."
  • Ability to offer a paper HRA
  • Availability to come onsite to address employee concerns with privacy.
  • Very responsive and adaptable to organizations needs.
We have negotiated the best pricing in the market for our members and our partnership allows you to offer Health Solutions, Ltd.® to mutual clients at a 15 - 25 percent discount. For more information about Health Solutions, Ltd.® visit our Web site or contact Bobbie Jones, 800.223.4139, x 6638.

New Spanish Resources from AHRQ
The Agency for Healthcare Research and Quality (AHRQ) has added a new monthly online health advice portal for Spanish-speaking consumers, Consejos de Salud Para Tí (Health Advice for You).  
 
The column will provide evidence-based tips on preventive health, safe and appropriate use of medications and other medical therapies, ways to get better health care, and other key health care issues. 
 
News You Can Use
The Alliance highlights health care and benefit management news for employers in News You Can Use with a link to take you to the original story or report. 
  • Health Care Spending for Obese U.S. Adults
    Spending on health care for obese Americans age 18 and older increased 82 percent between 2001 and 2006, rising from $167 billion to $303 billion, according to the latest News and Numbers from the Agency for Healthcare Research and Quality.

Back to top

Quality Counts ™ for Employees
The Alliance encourages employers to distribute the QualityCounts for Employees information piece to their employees.  
  • Quality and Cost in Hospital Care: Separating the Truth from the Fiction
Sometimes what we think and what's true isn't the same. When it comes to your health, knowing what's real, as opposed to what you think is, can make a big difference. Knowing the real truth can help you make better choices about where to go for your health care.   
Alliance Provider Update 
The Alliance encourages employers to distribute the Provider Update listing to their employees.
 
Just a reminder - always check the online provider directory for the most current provider information!

About The Alliance TPA Briefing
Each month, The Alliance TPA Briefing delivers the latest news to third-party administrators about Alliance services, programs and events as well as information on health benefit trends, issues, and ideas of interest to our mutual clients.
 
Subscriptions are available on a complimentary basis. To subscribe, please send an e-mail message with your name, title, and organization to the marketing and member services department.
 
Reader comments, suggestions, and topics are always welcome.
 
Cathy Lanser, Editor
Melanie Cannon, Designer
Carlene Boehmer, Manager, Claims and Customer Services