Sanders pointed to a 2012 report by the Robert Wood Johnson Foundation that concluded: “Hospital consolidation generally results in higher prices.””Studies find that consolidation was primarily for the purpose of enhanced bargaining power with payers, and hence did not lead to true integration. Consolidation without integration does not lead to enhanced performance,” according to the foundation’s report.”Provider and hospital consolidation are often sold as measures to increase ‘efficiency,’ but ironically they often result in higher prices for employers and individuals as efficiencies can be overshadowed by higher charges that larger health care systems often leverage in negotiations,” said Sanders, president of the New Jersey Association of Health Plans.The new company would be run jointly by Garrett and Lloyd for 2 1/2 years, after which time Garrett would be the sole president and CEO, according to the announcement. “We’ll be joined at the hip going forward,” Lloyd said.Meridian Health, a non profit company, is comprised of Jersey Shore University Medical Center in Neptune, Ocean Medical Center in Brick, Riverview Medical Center in Red Bank, Southern Ocean Medical Center in Manahawkin, and Bayshore Community Hospital in Holmdel.Hackensack’s hospital holdings are comprised of Hackensack University Medical Center, Palisades Medical Center, and two hospitals co owned by the for profit LHP Hospital Group of Texas HackensackUMC at Pascack Valley and HackensackUMC Mountainside..
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