Concentra

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Concentra Health Services
Subsidiary
Industry Health care
Founded 1979
Headquarters Addison, Texas, United States
Key people
John R. Anderson, D.O.
(Chief Medical Officer and Executive Vice President)
Keith Newton
(Executive Vice President and Chief Operating Officer)
Products Occupational Medicine
Urgent Care
Primary Care
Physical Therapy
Health and Wellness
Revenue $1 billion (2015)
Number of employees
8,000
Website Concentra.com

Concentra Inc., is a national health care company founded in 1979 in Amarillo, Texas. Concentra delivers a wide range of medical services to employers and patients, including urgent care, occupational medicine, physical therapy, primary care, and wellness programs.

The company is headquartered in Addison, Texas and operates more than 300 Urgent care centers in 36 states. Concentra has more than 900 affiliated primary care physicians and 600 physical therapists. These health care professionals treat injuries and illnesses, provide disease prevention and wellness services, perform physical examinations, and conduct drug testing. Concentra also provides a range of health improvement solutions to employers, and operates 154 employer onsite medical facilities.

The company's primary focuses are occupational health, physical therapy, health and wellness and urgent care.[1]

History[edit]

Concentra’s predecessor was founded when three primary care physicians opened up the first Occupation Health Center in Amarillo, Texas. These physicians applied the same occupational health model to their second location, which opened in Garland, Texas in 1985.[2]

Between 1985 and 1997, the network of medical centers grew under the management of OccuCenters, Inc. In 1997, Dallas-based OccuSystems, Inc., parent of OccuCenters, merged with Boston-based CRA Managed Care, Inc. to form Concentra Managed Care, Inc., a publicly traded company. In 1999, the company's stock was privatized, and in 2001, the company changed its name to Concentra Incorporated. A period of expansion followed as Concentra grew to include health-related businesses such as network services, bill review, case management, independent medical examinations, and PPO networks. Following a series of divestiture transactions in 2006 and 2007, Concentra narrowed its focus on occupational health, medical center expansion, and wellness and preventive care.

In 2007, the company launched its urgent care initiative to meet the growing need for a cost-effective option to hospital emergency rooms for non-emergency conditions. As part of this initiative, the organization wanted a consistent platform to support its strategic growth plan and align more than 330 centers in 40 states that were varied in design, operational requirements, and brand mark.[3]

In December 2010, Humana announced its acquisition of Concentra for approximately $790 million. Welsh, Carson, Anderson & Stowe, a New York City-based private equity firm, had previously owned a majority of Concentra's equity since 1999.[4]

In June 2015, Humana Inc. (NYSE: HUM) announced the sale of the stock of its wholly owned subsidiary, Concentra Inc. (Concentra), to a joint venture between Select Medical Holdings Corporation (Select Medical) and Welsh, Carson, Anderson & Stowe a private equity fund for approximately $1.055 billion in cash. Select Medical’s purchase of Concentra supports its goal to create a maximally profitable occupational-medicine business channel that complements the organization’s existing portfolio of long-term acute care hospitals, inpatient and outpatient rehabilitation clinics, and contract rehabilitation services. Approximately 80% of Concentra's revenue is derived from patient visits to its medical centers, while its Health Solutions businesses collectively generate the remaining 20%.

An urgent care location in Hillsboro, Oregon

On average, more than 30,000 patients visit Concentra's medical centers each day. According to the Bureau of Labor Statistics, 1 out of every 7 occupational injuries in the U.S. is treated by Concentra.[citation needed]

Litigation[edit]

In 2005, a class action lawsuit was brought against Concentra and its subsidiaries, Concentra Managed Care MCO and Focus Healthcare Management PPO. It alleged that Concentra and its subsidiaries engaged in silent PPO activities and unfair repricing tactics. The lawsuit was initiated on behalf of First State Orthopaedics and all U.S. physicians with workers' compensation or car accident bills that had been repriced by Concentra or its subsidiaries. The complaint was based on allegations of "breach of contract/duty of good faith and fair dealing, tortious interference with existing and prospective contractual relations and unjust enrichment".

Some parties agreed to a $3.7 million settlement, in which Concentra agreed to pay $2,000 to each plaintiff and legal fees.[5] However, the settlement terms were criticized by many of the doctors, supported by medical professional associations, such as the American Medical Association (AMA) and the Connecticut State Medical Society (CSMS). The AMA filed an objection with the court on the grounds that "the defendants' promised changes are illusory, incapable of verification, and in any event inadequate to redress the [alleged] damages". CSMS said the terms of the settlement "provide very little relief to aggrieved physicians" and would require them "to give up virtually all legal claims they may have" that are tangentially related to the claims in this suit and recommended that doctors who were substantially aggrieved should consider opting out of the class action lawsuit to retain the option to pursue an individual claim against the company in the future.[6]

In 2009, Concentra was part of a class action workers' compensation case, Josephine Gianzero et al. v. Wal-Mart Stores Inc. et al, alongside Wal-Mart and its insurance adjuster Claims Management Inc. (CMI).[7] The lawsuit was filed in Colorado federal court on behalf of 13,521 Wal-Mart employees who had received treatment for work-related injuries. According to Denver Business Journal, the workers sued Wal-Mart, CMI, and Concentra for "interfer[ing] with and limit[ing] the independent judgment of certain medical providers who treated injured workers employed by [Wal-Mart] in Colorado who sustained on-the-job injuries".[8] After fighting the charges for three years, Judge Robert Blackburn approved a settlement of $8 million, requiring Concentra to pay $4 million, through its insurer, and Wal-Mart and CMI to pay the other half. Concentra was ordered to pay $520 to each Wal-Mart employee that had been treated at one of its offices and $50 to employees who were treated at other clinics.[7]

References[edit]

  1. ^ "About Concentra fact sheet". Concentra Inc. Retrieved 2012-06-20. 
  2. ^ "History". Concentra Inc. Retrieved 2010-08-02. 
  3. ^ "Concentra: One Patient at a Time". Concentra Inc. Retrieved 2010-08-01. 
  4. ^ "Humana to buy Addison-based Concentra for $790 million". Dallas Morning News. Retrieved 2011-01-01. 
  5. ^ "05-4951 - First State Orthopaedics et al v. Concentra, Inc. et al" (PDF). 
  6. ^ "Concentra Settlement Information - Opt-out instructions". Connecticut State Medical Society. 2013. Archived from the original on November 18, 2013. 
  7. ^ a b Svaldi, Aldo (November 13, 2012). "Injured Wal-Mart workers win $8 million settlement". The Denver Post. Retrieved January 23, 2017. 
  8. ^ Huspeni, Dennis (Nov 14, 2012). "Wal-Mart settles workers' comp class-action case". Denver Business Journal. Retrieved January 23, 2017. 

External links[edit]