Contract Negotiations

At CCG, we believe you have to negotiate from a position of strength and understand the topic of discussion better than the person across the table. You also have to take a proactive position and not let insurance companies, TPA’s, or managed care organizations set the tone of the discussion.

 

We excel at contract negotiation support services because we have the experience and in depth knowledge about the contracts involved to pre-establish what the level of service, assumption of risk and market pricing should be before we start negotiating.

 

To arrive at what we feel is the client’s most advantageous position, we also introduce some “deep dive” concepts and analytical tools into the process. Some of these were developed by our founder and include:

 

  • Risk Drop Off Point Analysis
  • Fixed and Variable Balance Ratios
  • Margin Adjusting
  • Credibility Blending
  • Funding Method Efficiency
  • VEBA Advantages
  • Excess Risk Breakpoints

 

To be successful, negotiations with vendors requires tack and diplomacy coupled with a clear understanding of the factors supporting expectations.

During negotiations vendors will know how we arrived at our position, why it may be different from theirs, and how they can justify agreeing with ours. Actuaries have a saying,”show me where to hang my hat”, and we provide the hook.