Tenet Healthcare (THC -0.3%) and Humana (HUM +0.9%) sign a new multi-year contract extension that provides Humana members with traditional commercial plans continued network access to Tenet's 79 hospitals, 193 outpatient centers and more than 1,800 doctors. Humana's Healthcare Exchange members in Atlanta, Birmingham, Houston, Memphis and San Antonio will have access to Tenet's services for the first time while Exchange members in Chicago, Detroit and Phoenix continue to have their access.
The agreement also includes an accountable care organization (ACO) arrangement for Humana's Medicare Advantage members in Atlanta. The ACO is a collaboration between the two organizations that focuses on enhancing care coordination and includes incentive payments for achieving key evidence-based quality metrics.
Financial terms of the contract are not disclosed.