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Who to Contact
at The Alliance
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Greetings!
Welcome to your Alliance e-Resource. This quarterly e-mail keeps you up-to-date on Alliance products and services to help you serve your clients. |
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Alliance Fee Schedule Reduced
The Alliance's fee schedule for Standard Equity members was recently adjusted, lowering retainage rates and increasing the retainage cap. The Alliance Board of Directors has approved the changes, after review of the fee schedule, effective June 1, 2010.
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For members who have been with the cooperative for less than 4 years, the retainage rate dropped from 6.5% to 4.5%.
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For members that are eligible for a longevity rate, that have been with the cooperative more than 4 years, the rate was lowered from 3.7% to 3.5%.
Retainage is the share of claims savings retained by The Alliance to be used for operating expenses. For those whose rate went from 6.5% to 4.5%, this amounts to a 31% reduction, or a difference of $0.61 on a typical $100 claim:
| June 1, 2009 - May 31, 2010 Rates | | June 1, 2010 - May 31, 2011 Rates | | $100 claim - 30.5% average discount | | $100 claim - 30.5% average discount | | $30.50 savings - 6.5% retainage rate | | $30.50 savings - 4.5% retainage rate | | Amount paid to The Alliance: $1.98 | | Amount paid to The Alliance: $1.37 |
For those with the cooperative more than 4 years, this amounts to a 5% reduction, or a difference of $0.06 on a typical $100 claim:
| June 1, 2009 - May 31, 2010 | | June 1, 2010 - May 31, 2011 | | $100 claim - 30.5% average discount | | $100 claim - 30.5% average discount | | $30.50 savings - 3.7% retainage rate | | $30.50 savings - 3.5% retainage rate | | Amount paid to The Alliance: $1.13 | | Amount paid to The Alliance: $1.07 |
Annual retainage cap
The annual retainage cap for member companies was raised from $11.00 to $11.75 per employee per month. Member companies have an annual retainage cap based on The Alliance fiscal year (June 1 through May 31). The retainage cap puts a limit on the amount of retainage owed and is designed to limit a member's liability should they have inordinately high-cost claims in a given year.
Once a member hits the cap, no further retainage is applied until the new fiscal year begins. Although the retainage cap is increasing, we expect the reduction in the retainage rate will minimize the impact. |
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Updated QualityCounts™ Outpatient Procedures and Tests Report Now Available to Alliance Members
An updated 2010 QualityCounts Outpatient Procedures and Tests Report is now available on The Alliance website. The report includes cost information on 17 outpatient surgeries and tests at 78 facilities in The Alliance network.
This report includes updated cost data for 2010, and a new design. Based on feedback we received from consumer testing this past winter, we've increased the font size, made tables bigger, added instructions for using the e-book format, and updated the log-in process.
Because of the sensitive cost information this report contains about our contracts, the report is immediately available only to employees and dependents who enroll in their organization's medical benefit plan with access to The Alliance's contracts. Others in the organization who need access to provide benefits assistance may request access from The Alliance. They are required to complete an Access Request Form and Nondisclosure Agreement. Members who need a copy of the form may contact Bobbi Jones, 800.223.4139, x 6638, to request the form.
Agents/consultants will not be automatically receiving access and mutual clients may not share this report with you unless you sign one of these forms. Members who share the report with you without having you sign this form are in violation of our provider agreements.
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