Eden Prairie, Minn.-based Ingenix will enter the medical necessity compliance market by acquiring Executive Health Resources, a consultancy based in Newtown Square, Penn. Terms of the acquisition, expected to close this year, were not disclosed.

Ingenix sells coding and revenue cycle management software, claims clearinghouse services, data analytics applications, ambulatory practice management and electronic health records software, and consulting services. It recently announced it would acquire Picis Inc., which sells clinical and financial information systems for high-acuity areas of hospitals.

Through Executive Health Resources, Ingenix now will add to its portfolio proprietary analytics software, a library of 1.8 million medical necessity reviews and the expertise of nearly 400 consultants who have worked with more than 1,100 hospitals. Medicare and Medicaid programs require compliance reviews of services provided to covered patients to ensure that care is medically necessary and delivered in the proper setting.

Robert Corrato, M.D., president and CEO of Executive Health Resources, will continue to lead the firm. Its offices in Newtown Square, Columbia, Md., and Pleasanton, Calif., will remain open. More information is available at ehrdocs.com and ingenix.com.

--Joseph Goedert


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