“We are pleased to announce that Cleveland Clinic and CareSource have signed a long-term contract solidifying that CareSource Medicaid and MyCare members can continue to have their care covered at Cleveland Clinic without any interruption,” the insurer and hospital system said in a joint statement. “This comes following months of diligent discussions dedicated to working toward an agreement and upholding our combined commitment to provide Medicaid and MyCare patients with access to the highest level of healthcare.”
RELATED: CareSource, Cleveland Clinic extend contract through November
CareSource, a Dayton-based nonprofit that manages Medicaid plans, has been on a growth streak, taking the city’s downtown along for the ride with its 2,000 and counting downtown employees and plans to add a second office tower.
But the insurer had been unable to finalize a long-term contract with the Clinic, which is one of the top hospital systems that CareSource does business with.
As of 2015, the latest year data was available from the insurer’s annual financial disclosures, the Clinic received the third highest payment volume from CareSource, taking in $286 million in payments from the insurer.
The only two organizations that CareSource paid more that year were CVS Caremark, which got $1.5 billion for managing pharmacy benefits, and Columbus-based Nationwide Children’s Hospital, which received $373 million.
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The amount of business CareSource does with the Clinic has risen as the insurer has grown, up from $179 million paid out in 2013.
If the two parties had not work out a deal by Nov. 30, it would have been too late for Medicaid enrollees to switch plans because open enrollment also ends at the end of this month.
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