The other day I spoke with a physician who had a problem on his hands he wanted to cancel his contract with one of the large managed care payors. Your first inclination would be to say that its not a hard thing to accomplish simply write the payor a letter and give them notice of your desire to terminate the contract, right?. This physician wrote that letter, but received a response from the carrier denying his request. It seems that he had signed a contract and, without realizing it, agreed to a provision allowing termination effective only on an anniversary date.
Managed care contracts are often drafted in favor of the payor and modifications must be made to balance that disparity. Floridas HMO Statute §641.315 provides for a sixty day cancellation notice and we were able to successfully open the lines of communication between the parties in this situation. However, it is not always possible to reverse a condition that you have contractually committed yourself to. Understanding every clause in your managed care contracts is vitally important. It is always best to have a board certified healthcare attorney review them before you sign on the dotted line.
