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Protect against insolvency when negotiating contracts; look for warning signs

Providers often don’t worry about the possibility of a payer hitting hard times until it is too late, says John Meyers, JD, an attorney with Ervin Cohen & Jessup in Beverly Hills, CA. The financial stability of the company—whether it is a healthcare plan or a medical group that will be the intermediate payer—should be considered from the start and during the contract negotiations, he says.


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