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OpinionJanuary 16, 1998

To the editor: The Southeast Missouri Business Group on Health was recently contacted by your staff for a response to the announcement of a bankruptcy filing and impending dissolution of MedAmerica HealthNet Inc. Unfortunately, we were unable to respond until our board of directors had a chance to discuss and review the issues. We have now done so and offer the following observations...

Mary Dunn

To the editor:

The Southeast Missouri Business Group on Health was recently contacted by your staff for a response to the announcement of a bankruptcy filing and impending dissolution of MedAmerica HealthNet Inc. Unfortunately, we were unable to respond until our board of directors had a chance to discuss and review the issues. We have now done so and offer the following observations.

The primary goal of the Southeast Missouri Business Group on Health, since its inception over seven years ago, has been to focus on quality health care at competitive prices for employees and citizens of the Southeast Missouri area. We strongly believe that, in order for this focus to be achieved, options and choices in health care need to exist in Southeast Missouri.

We are disappointed by the demise of MedAmerica HealthNet as well as the closing of the local Humana office. The loss of these two options significantly reduces the alternatives available to our employees and to others in the region. These unfortunate events speak to the need for choices and change within our community. We can only hope that this current reduction of market options is not accompanied by increases in prices to those who must utilize health services.

However unfortunate, the withdrawal of Humana and dissolution of MedAmerica may create an opportunity for other entities to form in or to enter the market. Employers do have options and choices that did not exist a year ago, and additional options and choices are in the development stages.

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We understand that employees and businesses who have utilized MedAmerica may be confused and concerned about what they will do next. While we are not an insurer nor a health-care network, we wish to offer any assistance we can to employers who have been affected by the dissolution of MedAmerica and who may not be aware of available alternatives.

Representatives from our member companies such as Procter & Gamble, M&W Packaging, Columbia Sportswear, Noranda Aluminum, Southeast Missouri State University, Magna-Tel Inc., Dana Corp., Blair Industries, Jim Wilson Co. and numerous others would be happy to share information about their health insurance and network designs that might ease and otherwise difficult time. Please call (573-651-4688) if we can be of assistance.

MARY DUNN, Executive Director

Southeast Missouri Business Group on Health

Cape Girardeau

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