MultiPlan pushes back on insurer collusion allegations

MultiPlan executives are defending the company's data and analytics services on Capitol Hill, Politico reported July 30. 

MultiPlan CEO Travis Dalton has met with Senate staff over the past weeks, the outlet reported. The meetings came after senators requested the Federal Trade Commission and Justice Department investigate MultiPlan. 

The FTC and DOJ have not contacted MultiPlan, Mr. Dalton told Politico. 

A spokesperson for Senate Finance Committee Chair Ron Wyden told Politico the committee is investigating whether Multiplan acts as a "middleman" driving up prices. 

The calls for investigations came after The New York Times published an investigation alleging MultiPlan helped insurers collect millions in fees. 

MultiPlan helps plans handle out-of-network claims, advising insurers what to pay providers. According to the Times, the plans often pay much less than providers bill — and charge self-funded employers a percentage of the savings as a processing fee. The formula incentivizes payers to pay providers less so they can charge employers higher fees. Patients may have to pay out-of-pocket for the remaining costs. 

Three health systems, including Franklin, Tenn.-based Community Health Systems, have sued MultiPlan, alleging they were underpaid by MultiPlan and insurers. 

Mr. Dalton told Politico his meetings with staff of the Senate Committee on Finance and Health, Education, Labor and Pensions allowed the company to address misconceptions. 

"There are different levels of knowledge across the Hill, but everyone has given us the courtesy of listening to us on how the industry works and how MultiPlan is an important part of it, including dispelling some of the narratives that just aren't true," Mr. Dalton said. 

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