No contract agreement between Premier, UHC
Premier Health and UnitedHealthcare did not reach a contract agreement Saturday, meaning the most recent contract expired without a new deal.
The deadline to prevent thousands of UHC policyholders from losing Premier physicians and hospitals as in-network providers was midnight.
Many UHC policyholders will now have to find new in-network providers in the Dayton area.
“Despite repeated efforts to reach a compromise, all of Premier Health Network’s proposals maintained their position as one of the most expensive health systems in Southwest Ohio and demanded local businesses be restricted from offering competitive benefits that put consumer choice first and allow workers to be rewarded for choosing quality, cost efficient care providers,” UnitedHealthcare said in a statement Saturday evening.
“UnitedHealthcare’s goal remains to find an acceptable solution that would renew in-network access to Premier’s hospitals and physicians with a contract focused on quality, affordable health care that preserves consumer choice.”
UHC policyholders with individual and employer-sponsored health plans have already been barred from in-network access to Premier hospitals as a result of failed negotiations last month. Dayton-based Premier, the largest health system in Southwest Ohio, has taken issue with UHC’s health plan design, which ranks hospitals and providers in tiers based on cost and quality. UHC, the nation’s largest health insurer, argues its plan design encourages consumers to choose the most cost-efficient care providers, helping to drive down health costs for consumers in the long run.
But Premier argues it would be inherently disadvantaged by the tiered system, which, officials said, would also limit consumer choice.
“Premier Health remains committed to resolving our differences with UnitedHealthcare as soon as possible while protecting patient choice,” the company said in a statement Friday. “We continue to keep the lines of communication open out of great concern for our patients.”
About 70,000 Dayton area residents are enrolled in UHC health plans, according to the company. But seniors with UHC Medicare Advantage plans have been shielded from the current contract talks. The two sides agreed late last month to extend their network relationship for UHC Medicare Advantage plans through the end of the year, providing policyholders with uninterrupted access to Premier hospitals and physicians.