Gary Herschman Quoted in “N.J. Experts Not Shocked by Trio’s Health Care Plan”ROI New Jersey February 1, 2018
Gary W. Herschman, Member of the Firm in the Health Care and Life Sciences practice, in the firm’s Newark office, was quoted in ROI New Jersey, in “N.J. Experts Not Shocked by Trio’s Health Care Plan,” by Anjalee Khemlani.
Following is an excerpt:
Reports of a new nonprofit health care entity created by Amazon, Berkshire Hathaway and JPMorgan Chase created a buzz among New Jersey’s business leaders this week.
The response was a mix of skepticism (about what seems like a combination of existing ideas like self-insurance and preferred networks) and enthusiasm (for what the announcement could mean for New Jersey as a partner and for Amazon’s HQ2). …
Gary Herschman, an attorney with Epstein, Becker and Green in Newark, said the big players aiming to reverse the trend of higher health care costs by doing it themselves are part of a trend that is forcing providers to adapt and offer services to meet that demand. Between Accountable Care Organizations (a byproduct of the Affordable Care Act that has pushed for shared savings between providers and payors), and Clinically Integrated Networks (which are provider networks focused on providing a broad range of services outside of just a hospital), the discussion has been ongoing.
“We’ve been talking with clients about this for a few years now,” Herschman said. “It’s starting to pick up momentum now that the big corporations are catching on in the West and Northwest, and around the country, that have been doing direct contracting. We are going to start to see more and more cutting out the insurers and doing self-insured health plans. My gut tells me that it involves direct contracting with clinically integrated networks in their communities.”