Logisticare – the Rogue Broker in the Non-Emergency Medical Transportation Industry
Medicaid and Medicare brokers are many in number and varied in temperament. Although many perceive such brokers to be non-profit entities, they are, to the contrary, for-profit businesses and, thus, need to be efficient and profitable. Therefore, as can be expected, the “bottom line” is quite literally the bottom line for brokers.
In having the privilege of working with many medical transportation providers from around the country, I can tell you that most brokers understand that providers are essential to accomplishing their mission and improving their bottom line. Thus, transportation providers are indeed strategic partners. They are strategic partners for which there is mutual respect, communication, and commitment.
Unfortunately, there is one broker that, above all others, displays bullying, boisterous and domineering policies for which there is often little respect, regard, or consideration for transportation providers. This particular broker is none other than the nations largest and most profitable of all brokers, Logisticare – the “Bully Broker on the Block!”
It is not my policy to share exploits and details of clients for whom I work with One-on-One. However, because this is such an important topic that can help so many of you, I feel that it is essential to share with you the “Bully on the Block” experience that Rick and Debra Judy, owners of Tender Hearts Transportation, have recently experienced.
Rick and Debra are phenomenal people and business owners. Starting as an in home care business and then expanding into medical transportation, Rick and Debra have a staff of approximately 200 people. As owners, they are incredibly disciplined, dedicated, hardworking, and loyal to their people which include an awesome office staff. Through their leadership, Tender Hearts embodies customer service.
It wasn’t long ago that Rick contacted me requesting my assistance to help them restructure their business so as to increase efficiency and profitability. I flew to Arizona and spent a number of days with Rick, Debra, and their staff. In studying their business model, systems and procedures, and then breaking down their numbers it was clear that their Logisticare transports were not profitable. In short, the biggest and most popular “Bully on the Block Broker” not only failed to value Tender Hearts Transportation as a strategic partner, but Logisticare was actually attempting to treat them as a share cropper!
Without exaggeration, during a conference call with Logisticare, on speaker phone with me in the office, Todd Mason, one of Logisticare’s Regional Operations Managers, was actually trying to convince Rick that Logisticare would NOT be reimbursing Tender Hearts for upwards of $20,000 worth of transportation that has already been performed and approved.
A strategic partner – definitely not! Tender Hearts Transportation has been providing medical transportation to their local community for the last several years. Astonishingly, Logisticare again demonstrates their value and partnership of local transportation providers by literally attempting to steal money by withholding reimbursement of an excess of $20,000 worth of already approved transports to Tender Hearts.
Is this the first time of such reimbursement thefts by Logisticare? No, of course not. I have worked with or been contacted by plenty of other transportation provider reporting similar acts of theft. Much of them have been less in value, but there have been reports of more.
Regardless of the dollar amount, consider how audacious, cocky, boisterous, and abusive such conduct is by Logisticare, the nations largest broker operating in 39 states, the District of Columbia, and annual revenue exceeding 1 Billion Dollars.
Especially because I had the pleasure and opportunity to spend time with the owners of Tender Hearts and witness their operation first hand, I can assure you that Tender Hearts has been operating in good faith and providing outstanding transportation services to Medicaid recipients. Now, with Logisticare attempting to steal more than $20,000 worth of transports it further underscores and illustrates their brutal tactics. Talk about ingratiating themselves into the hearts and minds of local communities and businesses – and brokers wonder why they have such poor reputations among independent operators and transportation providers?
Again, I am very pleased to say that I have the ability to work with many providers from around the country. In so doing, I see and experience many interactions between providers and a host of brokers. With such interactions and experiences, I can assure all of you that there is no broker that comes close to being as abusive, domineering, and operates with such disregard to the interest of transportation providers as that of Logisticare.
How does Logisticare get away with such theft? Because transportation providers fail to communicate and share their experiences and rates of reimbursement. By keeping independent operators and transportation providers separate, Logisicare and other brokers are able to “divide and conquer.” They rely on providers operating “blindly” and not seeking legal recourse.
Click Here to learn how independent operators and transportation providers can share experiences and rates of reimbursement from brokers.
To be clear, not all brokers are as brutal as Logisticare. In fact, there are some brokers that are quite good and reasonable to work with. They understand the value of good, quality transportation providers. Such brokers do everything possible retain competent, qualified, and reliable providers. Thus, these broker attempt to be fair and respectful to providers. Under such circumstances of true strategic partnership, providers are able to further experience growth and profitability.
But the good news, although shocked by Logisticare’s attempts at theft, Rick and his staff are not deterred or distracted. Because their company has been built on sound principles of customer service and a commitment to excellence, Tender Hearts is a diverse fixture within their local and surrounding communities. Thus, such corrupt conduct by Logisticare is proving to be less than a bump in their road to success.
So what’s the morale of the story? Well, honestly, there are many. But most importantly, if you are dealing with or will be dealing with any such brokers in the future you NEED to study my Boot Camp Seminar DVD Series. A very large portion of this exclusive DVD Series is dedicated to understanding how to interact and relate to brokers so that you will not ever be taken advantage of or perceived as a share cropper as Logisticare does with providers.
As I always say, a smart man learns from his own mistakes. But a truly wise man learns from the mistakes of others. Why – because it’s a whole heck of a lot cheaper and easier! Think of Rick and Tender Hearts Transportation. I can assure you, if Rick had studied this newly released DVD Series prior to signing any contracts with Logisticare these recent circumstances would absolutely NOT have happened. With all certainty, Logisticare would not be trying to steal upwards of $20,000 from Tender Hearts Transportation.
Let me also take another opportunity to thank Rick and Debra Judy and their entire staff at Tender Hearts. They literally opened up their hearts and home and were incredibly accommodating. I’ve worked with some people that get defensive or make excuses when working to trouble shoot their business. However, with Rick and Debra, this couldn’t have been further from the case. Tender Hearts is a sizeable company, yet they are some of the most gracious and humble clients I have ever had the pleasure of working with! As a result, after many long days from early in the morning to late at night, we were able to restructure their business so that their profit margins will further sky rocket in the coming months!
Click Here Now to learn from other people’s mistakes! Invest in the Boot Camp Seminar DVD Series to discover how to deal with brokers.