News Headlines Article

Sutter Health, Health Net create lower-cost HMO option in Sacramento area
San Francisco Business Times

Health Net of California Inc. and the Sacramento-based Sutter Health hospital system say they’re launching a new lower-cost HMO option in the Sacramento region that offers lower-cost premiums for employers when employees “access medical care nearly exclusively” through Sutter’s system of hospitals and affiliated physicians. The so-called “narrow network” keeps consumers within Sutter’s system, giving it more business, and allows Health Net to control costs more effectively, passing on savings to employers. Or that’s the concept, at any rate.