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Massachusetts insurers may slash rates to hospitals

Boston Globe, May 24, 2010

Massachusetts health insurers say they want to freeze or slash payments to some hospitals and large physician groups this year, a move that could create tough contract negotiations and the potential for disruptions in where patients get their care. Other providers would get small increases, at most, the Boston Globe reports. Unlike in past years, insurers believe they have widespread backing from politicians, regulators, and employers to aggressively push back against large price increases, even if it means some unhappy providers drop out of insurers' networks, forcing patients to find new doctors and hospitals.