A delegation of Michigan physicians later this month at the annual meeting of the American Medical Association in Chicago will request that the AMA House of Delegates oppose penalties implemented by health insurers against physicians when their patients seek services from out-of-network laboratories, the Chicago Tribune reports. According to the Tribune, passage of the proposal by the AMA House of Delegates would "put the AMA's considerable lobbying clout behind federal legislation" to prevent such penalties (Japsen, Chicago Tribune, 6/14).

Earlier this year, UnitedHealth Group announced a policy that threatens to fine physicians who repeatedly refer patients to out-of-network labs. UnitedHealth in 2006 reached a 10-year agreement to make Laboratory Corporation of America Holdings the national in-network lab for the company. A letter sent to physicians earlier this year stated that, as of March 1, UnitedHealth will reserve the right to fine physicians who repeatedly refer patients to out-of-network labs $50, reduce their reimbursements or eliminate them from the company network (Kaiser Daily Health Policy Report, 6/10).

Tyler Mason, a spokesperson for UnitedHealth, said, "Information about a financial penalty is specifically directed to physicians who knowingly and repeatedly refer to non-network lab facilities. We will engage in dialogue with these physicians to better understand their continued referring patterns before taking any steps." Mason also said that patients prefer in-network labs because when "a physician refers out of that network, the individual has higher out-of-pocket costs" (Chicago Tribune, 6/14).

"Reprinted with permission from kaisernetwork. You can view the entire Kaiser Daily Health Policy Report, search the archives, or sign up for email delivery at kaisernetwork/dailyreports/healthpolicy. The Kaiser Daily Health Policy Report is published for kaisernetwork, a free service of The Henry J. Kaiser Family Foundation . © 2005 Advisory Board Company and Kaiser Family Foundation. All rights reserved.

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