Goodyear urges binding external review for HMO reform

WASHINGTON (April 18)—Binding external review of health management organization claims is a must for any managed care reform legislation Congress might pass, according to a letter from Goodyear to congressional managed care conferees. External review, provided for in the Senate HMO bill passed last year, "would allow quick resolution of conflicts in a cost-effective manner," wrote W. James Fish, Goodyear senior vice president of human resources. The House bill, on the other hand, allows only for litigation of HMO disputes, which "would add significant costs to medical premiums (and) direct conflict resolution to an already crowded court system," Fish wrote. Goodyear is a member of a multi-industry coalition whose goal is to achieve managed care reform on terms favorable to business.