Carilion and Lewis Gale: We’re competitors

By Mollie Halpern
Investigative Reporter
Published: August 29, 2008

An article in the Wall Street Journal accuses Carilion of monopolizing health care in the Roanoke Valley.
Carilion denies that, calling Lewis-Gale Medical Center “formidable competition”.
President of “HCA Southwest Virginia”, of the company that owns Lewis-Gale and three regional hospitals, agrees.
Mollie asks: “So does Lewis Gale consider Carilion a big competitor?“
Victor Giovanetti, the president of “HCA Southwest VA”. replies, “Lewis Gales operates in a competitive market.“
Giovanetti says competition is healthy because it breeds patient choice, builds services, and help controls cost.
He says HCA’s operating model, the “Open Medical Staff” encourages competition.
“Any physician who qualifies receives privilege to use our facilities, there’s no requirement they be employed by Lewis Gale”, says Giovanetti.
The model has opened the door to a growing number of physicians who have chosen to work with Lewis-Gale over the past 18 months.
Dr. Jackson Kiser once had a service contract with Carilion -but made the switch. 
Kiser says, “I wanted to practice radiology the way I wanted to.“
Lewis-Gale’s spokeswoman says the hospital has one-third of the market compared to Carilion’s two-thirds.
Despite that, the medical center has seen an increase in its inpatient and outpatient admissions.
But, Kiser says Carilion’s latest acquisition has enabled it to corner the market when it comes to certain surgeries and radiology services.
Carilion announced today that “The Center for Advanced Imaging/Center for Surgical Excellence” has become part of the clinic.
Kiser says the move limits patient choices, “I think that’s going to mean a closed loop for patient entry into that system.“
Kiser says Lewis-Gale will open that loop by providing similar services when its new facility opens in the spring of next year.
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