Innovation, influence and business in America's medical cities.

Remember the 1980s and early 90s? Thats when HMOs successfully slowed or even reversed health care spending increases with tools such as prior authorization, gatekeepers, restrictive drug formularies, narrow networks and capitation. Employers were happy to save money and also didnt mind that the HMOs took the blame when patients were [...]

Increase patients’ copayments for doctor visits, the theory goes, and you’ll see lower health costs since people won’t go to the doctor for minor ailments. Alas, that theory’s wrong.

Over the last six years, uncompensated care has risen by 114 percent, according to the Minnesota Hospital Association. Uncompensated care is made up of charity care and bad debt from care that patients never pay for. In 2008, Minnesota hospitals gave away $268 million in uncompensated care.

Perhaps UnitedHealth and Continuum should get back to the business of negotiating a contract instead of competing in a bizarre Ms. Popularity Contest, a crown that belongs to neither of them.

Bloom Health Corp., a Minneapolis-based start-up that advises companies, employees and consumers on health care issues, is seeking a total of $5 million through the sale of equity and warrants and/or options, according to documents filed with the Securities and Exchange Commission.

Merrill Goozner looks at recent developments in health care reform and says, “The Obama administration’s commitment to cost control in health care can now be summed up in four words: Not on our watch.”

State officials and watchdog groups have said costs for the elderly and ill are so high during open enrollment that it’s basically impossible for them to take the policies offered by insurers in the program. Next year, open enrollment rates will be capped at twice the lowest rate charged to a person of similar age and gender.

Bills in the state House and Senate would require insurers cover Food and Drug Administration-approved prescription contraceptive drugs or devices as well as related services. It’s part of legislation that would also revise rules on the state’s sex education policy to bar abstinence-only curriculum, as well as improve access to family planning clinics in the state.

David E. Williams thinks flexible health insurance policies are a good idea — as long as people can pass a test knowing what they’re getting into.

Merrill Goozner writes: “The PriceWaterhouse study commissioned by America’s Health Insurance Plans, the industry trade group, may well be remembered as the Pickett’s Charge of this year’s health care reform battle.”