Kentucky's Largest Health System Severs Ties With CoventryCares

Aug 16, 2012

LEXINGTON, Ky. - KentuckyOne Health, which includes the former St. Joseph Health System in Lexington, has dropped all contracts with Medicaid managed care organization CoventryCares.

CoventryCares has terminated two of its contracts with KentuckyOne Health – including one with Our Lady of Peace, which provides specialized services for high risk patients in Louisville, in July. Now, KentuckyOne spokesperson Barbara Mackovic says her organization is responding by halting all its contracts with the managed care organization.

"KentuckyOne leadership very strongly believes that Medicaid recipients in the Commonwealth should have access to quality health care via a  comprehensive network of provider and community organizations," Mackovic says.

The patients at Our Lady of Peace, she says, desperately need care without interruptions.

"This is a psychiatric hospital, 75 percent of which are children, and these are very vulnerable patients."

Coventry has dealt with similar accusations from Appalachian Regional Healthcare, which also saw its contracts threatened after Coventry argued that unfair rules governing managed care in the state meant that it was required to cover more higher-cost patients.

CoventryCares is one four managed care organizations administering Medicaid in Kentucky. KentuckyOne says it will continue to honor commitments with the state’s three other MCOs, Kentucky Spirit, Wellcare, and Passport.