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Psychiatrist Wins Privacy Fight with HMO

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Psychiatrist Prevails in Case To Protect Patient Privacy

NCQA Site Visit Requirements Change

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Download the transcript of the Alex Rodriguez testimony. It might amaze many that this person is now the new medical director of Magellan Health Services.


VICTORY FOR PATIENTS' RIGHTS!

March 10, 2003 – Judge Joseph James has ruled in favor of the people and their right to privacy and freedom from managed care corporations infringing upon that right. Here are excerpts from the court's decision:

     By letter dated April 24, 2000, Magellan advised Dr. Shrager that their representative would review five treatment records, including three open and two closed cases. Dr. Shrager then communicated his concerns about patient confidentiality to Magellan. Magellan responded to Dr. Shrager with threats of termination from the program. Magellan then terminated Dr. Shrager and began to inform his patients that Highmark would no longer pay for his psychiatric services. Dr. Shrager petitioned the court for an emergency preliminary injunction and by Order of Court dated September 19, 2000, it was determined that he was entitled to an administrative review process. After exhaustion of the administrative process, he was advised of his termination by letter dated April 24, 2001. This court then stayed the termination pending this trial.

...

      The court finds that public policy and the standard of care permits third-party payors and those participating in PSRO or Utilization Reviews limited access to a review of psychiatric patients’ records. However, the review of five complete patient-review records requested by Magellan on April 24, 2000, was materially in excess of the limited review contemplated by the drafters of the above Pennsylvania Code Sections. Dr. Shrager’s refusal to comply with this request was justified, and his termination was not warranted.

...

      The primary issue in this case is whether Dr. Shrager was properly terminated for refusing to comply with the April 24, 2000 Magellan request to review five treatment records. Dr. Shrager contends that this refusal to comply with this request can lead to his termination only if the request was in accordance with all laws, regulations and the standard of care. Dr. Shrager testified that he advises patients in the first session that nothing leaves this office and the only exception would be if someone’s life were in danger. Robert L. Pyles, M.D. testifies that the psychiatrist has to be as careful with the records as possible because without confidentiality and “the safety of the frame, the safety of the envelope…no therapy can take place.”


Read the rest of the Court's Opinion HERE.

Opinion of the Court - View / Download

City-County Building, Allegheny County, Pennsylvania