Insurer to keep doctors onboard in hospital deal
Houston Methodist and UnitedHealthcare have agreed not to terminate hundreds of Houston Methodist doctors from the insurer’s network two months early, nearly two weeks after the hospital filed a petition accusing the insurer of dropping roughly 600 doctors from in-network status.
It took a temporary restraining order and caused much confusion for patients and physicians, but Houston Methodist doctors will remain in-network with UnitedHealthcare through April 1, the insurer said Wednesday.
“We’re pleased with this outcome as it allows us to focus on our top priority, which is establishing a long-term relationship with Methodist that ensures our members have access to quality, more afford
able care,” said Cole Manbeck, a spokesperson for UnitedHealthcare.
As many as 100,000 UnitedHealthcare members lost in-network access to eight Houston Methodist hospitals and dozens of outpatient facilities at the beginning of the year as the insurer and hospital network duked it out over costs. UnitedHealthcare’s contract with Methodist doctors, however, does not expire until April 1, allowing patients to continue seeing them at lower in-network rates.
Wednesday’s agreement comes nearly two weeks after a Harris County District Court judge issued a temporary restraining order barring the insurer from dropping some 600 doctors on Feb. 1. At the end of January, UnitedHealthcare sent letters to hundreds of physicians notifying them that their in-network status was terminated because they did not have admitting privileges to in-network hospitals.
Under the original contract and state law, insurance companies must notify doctors 90 days before termination. The letters came with less than 72 hours’ notice, doctors said.
UnitedHealthcare also sent letters to patients at the end of January informing them that their doctors would soon be out of network. The temporary restraining order also prevented them from telling plan holders, insurance brokers or employers that Methodist doctors would be removed before that date.
“The decision to terminate a physician provider must be done deliberately and carefully and with sufficient notice to allow for the transition of patients,” Dr. Robert Phillips, the president and CEO of Houston Methodist’s Physician Organization, wrote in a court statement filed Friday.
Houston Methodist has withdrawn its petition from court, hospital spokesperson Stefanie Asin said.
“We are relieved for our UHC patients as this will reduce any interruptions to their medical care and allow them to continue seeing our doctors as we continue negotiating with United on a resolution,” she said.
Letters will be sent to patients reinforcing that Houston Methodist doctors will remain in-network until April 1, according to UnitedHealthcare.
Over the past two months, both sides have launched major public relations campaigns, including advertisements in the Chronicle, pointing fingers at one another for failing Houstonians.
The latest case over dropping hundreds of doctors were another move in years of contentious negotiations over skyrocketing health care costs and pressures from employers to keep prices low.
UnitedHealthcare Medicare Supplement, or Medigap, members will continue to have access to Houston Methodist doctors and hospitals.