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The Boston Globe

Business

Health insurers curtail rise in fees

Providers accepting moderate increases

Massachusetts insurers, taking a tougher line in bargaining with health providers under pressure from financially strained customers and government regulators, have held payment increases to the lowest level in years. Contracts negotiated in 2011 gave hospitals and doctors groups average fee hikes of 2 to 3 percent, roughly half the increases dished out in 2010 and less than in any year since 2005, according to estimates by insurance executives of the state’s three largest health insurers.

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