Inova Health System — a five-hospital system based in Falls Church, Va., and one of the largest networks around the Washington, D.C., area — and health insurer Kaiser Permanente will not renew their contract after roughly seven months of negotiations.
Effective Oct. 1, Inova will no longer be an in-network provider for Kaiser members, and Kaiser will not refer its members to Inova hospitals, physicians or outpatient services, according to a news release.
Inova President and COO Mark Stauder said Kaiser's referrals to Inova have dropped 80 percent since 2007, indicating that "Inova is not part of Kaiser's long-term strategic consideration."
"It is extremely disappointing, after months of discussion, to come away without an affiliation renewal especially as open enrollment looms for many in the metro [Washington, D.C.] area," Mr. Stauder said in the release.
Kim Horn, president of Kaiser's mid-Atlantic division, issued a statement to the Washington Post: "We continue to view Inova as a fellow key business and community leader in northern Virginia. We believe that the health services we both offer are complementary and hope to partner with them and other leaders on initiatives that will contribute to the health of our citizens and the growth and economic success of the region."
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