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Satellite Med Ceases Operations Citing Industry Challenges

Satellite Med permanently closed its doors Thursday after 20 years of operation.

Owner Dr. James Cates cited a decade of industry challenges and insurance company practices that made independent medicine unsustainable.

“Healthcare in America has been in a downward spiral for the last 10 years,” Cates said in the Facebook post. “Insurance companies in particular have made it almost impossible to practice medicine as an independent practice.”

Cates said the organization is currently processing thousands of requests for medical record transfers.

“They consistently reduce their reimbursements to providers while steadily raising premiums on our patients, all while stepping into the medical decision-making process,” Cates said. “This has forced providers and practices to try to bring healing to our patients with one hand tied behind our back.”

Cates said the office will accommodate all requests for medical records to be transferred to other providers.

“It has truly been the honor of our lives to care for you and your families, and we wish you a happy, healthy, blessed future,” Cates said.

Cates said patients should look for a personalized message from the practice in the coming days with instructions about records transfers to other providers or to bring flash drives to receive records digitally.

Satellite Med was acquired by Interstate Health in 2024 as part of an effort to expand healthcare services in the Cookeville area.

At the time, Interstate Health announced plans to broaden the clinic’s services, including adding care for Medicare and Medicaid patients while preserving the existing staff and maintaining Satellite Med’s presence in the community through a co-branded identity.

The acquisition was also expected to strengthen partnerships with local healthcare providers and expand access to primary and occupational healthcare services in the Upper Cumberland.

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