Dr Prem Reddy adds one more hospital to his network...purchase of hospital in Anaheim still pending...BD 

A growing hospital chain that has taken heat for its business practices will assume ownership of the financially strapped Centinela Hospital Medical Center in Inglewood today - a deal that surprised everyone from union leaders to county officials to patients. The 369-bed hospital was sold to Victorville-based Prime Healthcare Services Inc. for an undisclosed amount. Two other facilities run by Centinela Freeman Health System - a hospital in Marina del Rey and the Daniel Freeman Memorial Hospital in Inglewood - won't be affected, officials said.

Prime Healthcare executives, however, say they will scrutinize contracts with five major HMO insurance providers to see whether the reimbursement rate they pay for services can be renegotiated. If not, the contracts may be cut, which means patients with Blue Cross, Blue Shield or other HMO insurance may not be able to use Centinela for non-emergency care in the future.

Centinela also closed its emergency room at Daniel Freeman Memorial Center in December.  Without contracts dictating reimbursement rates, the hospital can charge insurance companies full price for services until the patient is transferred or released.

Centinela hospital is bought by chain

11 comments :

  1. Prime healthcare has proven track record of keeping emergency departments open round the clock. This is exactly what Centinela needs given the critical crisis for emergency services in LA.

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  2. And he's known for getting his money too.

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  3. Centinela Hospital serves an area of lower income patients and has for years provided many essential out patient services. I feel sorry for all those patients how will not have insurance coverage at Centinela when Prem Reddy cuts all insurance contracts such as Blue Shield of California. Just wait when he comes after you when you have not paid the over inflated hospital bill....he is know for agressive collection methods. They hosptial is going to loose a lot of excellent medical personnel as they still believe in excellent paitent care and not just about making money. I think when Doctors just think about the bottom line and forget about the oath they took when they became doctors, then its time for them to return their medical license back to the State Medical Board. The ER might be open, but the services for the community will be GONE!!

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  4. Effective January 1, 2008 Centineal will stop no accept coverage from patients with HMO managed care coverage. Problem is that the patient who comes though Prem Reddy Emergency Rooms are not informed if they are covered. The next thing that happens is that the poor paitent recieves a bill from the hosptial. When the patient cant pay the Prem Reddy collectors will be coming after you.

    Centinela severs lower income patients that are mostly covered by Managed Heath Care programs or Medical.

    I quess that way over the last couple of weeks many of the doctors who have been at Centinela for years are leaving, as they dont want any part of Prem Reddy and his way of doing business, such as upcoding medical proceedures.

    It wont be long before the sports teams such as Dodgers, LA Lakers, Kings will be pulling their affliations with Centinela.

    Dr. Reddy is not well liked in the medical community. He no longer cares about savings lifes only about making a buck.

    Over the past few weeks it has become a common event for Prem Reddys new Chief of Staff at Centinela to discharge patients before they were actually ready for discharge. Oh yeah did I say Medical. He wants to fill his beds with patients that he can bill and late collect on.

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  5. Can you say Medical Fraud

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  6. Yes I heard the same thing that as of January 1, 2008, Centinela will no longer accept HMO and managed care coverage from patients, it will be all out of pocket. Whos going to tell the paitent that there not covered. California has a law the dones not allow discussions of medical covered when a patient comes through the ER. Centinela now has a policy that all admits come through their ER.

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  7. This is a tough subject indeed. It does limit the HMO patient in not being able to use the hospital, it's a matter of push and shove if you will. The contracts from the HMOs that pay the hospitals are not the best and both doctors and hospitals in California are paid at some of the lowest rates in the country, so go figure that one when most everything else out here is above what the cost is in other states, just look at gas for a simple example.
    When one of his hospitals does bill for PPO insurance coverage they are able to recoup more money as they don't have contracts and the insurance company has to pay a little more, but that is of no real benefit to the patient needing care I agree. Who knows where all of this will end up, but there are definitely the "haves" and "have nots" with hospitals in the state here. Folks wtih HMO insurance will have no other alternative other than to find another hospital when in need. The state did turn down the effort for Prime to take over Anaheim Memorial here in Orange County as well, as you can't have too many out there that do not accept HMO patients as it will in time give patients very few choices and long lines and wait times will result with inferior medical care for those who still participate simply due to over crowding.

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  8. I think the jury is still out here on whether or not this benefits the public at all. It appears to be working for Dr. Reddy, but how about the population that needs health care and does not have a big nest egg to help pay?

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  9. The health care pirate strikes again. Long term he will be a godsend for hospitals in California and a thorn in the side of all Health Insurance Providers. The word on the street is he struck a $1700.00 dollar a day deal with Blue. That news will send ripples of joy to hospital operators everywhere.

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  10. No one wants to go to this hospital very poor care.

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  11. I was hospitalized in this HORRIBLE Centinela hospital due to chest pains and shortness of breath A couple months .I have already had 2 angioplasty's.in the past.I recently moved to this area.
    THE EMERGENCY ROOM WAS NOT RIGHT!THEY HAD A PILE OF GAUZE ON A TRAY WITH BLOOD ON IT! THOUGH I WAS FEELING ALOT BETTER THE NEXT DAY,THEY KEPT ME FOR 4 DAYS IN THE HOSPITAL!FROM FRIDAY UNTIL MONDAY.Not even when I had my surgeries I stayed that long in the hospital. FOR 2 TESTS echoCARDIOGRAM AND A STRESS TEST. WHICH THE TECHNICIAN BOTCHED UP THE STRESS TEST.EVEN THE BLOOD TESTS RESULTS WERE WRONG AS I DID FIND ME A PRIMARY CARE PHYSICIAN AND HAD BLOOD WORK DONE.I DO NOT KNOW THE NAMES OF THE DOCTORS, their names were not on my release forms,NOR DID ANYONE TELL ME DIAGNOSIS.ONE OF THE EMPLOYEES(anon) FROM THE HOSPITAL TOLD ME THE REASON THEY ARE KEEPING ME SO LONG IN THE HOSPITAL ,IS BECAUSE I HAD MEDI-CAL.My family members had to call and call as they took their time in getting the so-called needed tests done.
    THANK GOD THERE IS SOME OTHER HOSPITALS NEAR BY THAT HAVE BEEN RECOMMENDED TO ME.

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