Point32Health negotiates for members, not shareholders

Point32Health, the parent company of Harvard Pilgrim Health Care and Tufts Health Plan, has been negotiating for several months on a new agreement with Tenet Healthcare, a for-profit company based in Dallas, Texas that owns and operates MetroWest Medical Center in Framingham and Natick and Saint Vincent Hospital in Worcester. Despite claims made by Tenet, we remain committed to negotiating in good faith and reaching an affordable resolution.

Recently, Tenet Healthcare published inaccurate messaging about our negotiations and we need to set the record straight. It is unfortunate Tenet has decided to put you in the middle of this negotiation as a bargaining chip.

Last year, Tenet reported $20 billion in revenue, which resulted in a $4 billion profit. Tenet’s stock price rose more than 75 percent in 2023, while the company provided its CEO with more than $18 million in compensation. Notwithstanding these huge profits, they continue to demand payment rate increases dramatically above the industry standard.  Put plainly, they are prioritizing their shareholders over our members.

Point32Health is a Massachusetts based non-profit health insurer that serves all residents in the Commonwealth regardless of age or income. To further our commitment to the communities we serve, Point32Health enters all contract negotiations with health care providers with two primary member-centric goals: 1) To promote the affordability of plans that we offer and 2) To promote access to high-quality health care in the community.

Point32Health adheres to the Massachusetts Health Policy Commission’s statutory health care spending benchmark, which currently allows for a 3.6 percent increase for total health care costs, as a guide during  contract negotiation process. We do this to ensure that our members are receiving the highest quality services from providers who are compensated at a fair market rate.

In contrast, Tenet has demanded payments significantly above the Health Policy Commission’s cost growth benchmark over the next four years. Further, Tenet included in its latest contract proposal a clause that could restrict health care access for many people in Worcester and surrounding communities.

As one of the largest not-for-profit health insurers in New England, Point32Health does not have shareholders. Instead, we answer to our members and employer customers.

It’s important to note that this negotiation only pertains to the MetroWest Medical Center and Saint Vincent Hospital facilities – not doctors affiliated with the hospitals. Even if an agreement is not reached, members may continue to see their primary care providers and specialists at other points of care, and still visit Tenet Healthcare’s emergency departments. Members can contact our Member Services team at the phone number listed on their health plan ID card if they have any additional questions or concerns.

Point32Health remains steadfast in our commitment to ensuring that our customers, members and the communities we serve have access to affordable, high-quality health care.