Break between Cigna and Parrish leaves Brevard teachers in a lurch

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A health care gap will open at the end of this week when Parrish Healthcare ends its relationship with Cigna, the insurance provider that covers the largest employer on the Space Coast: Brevard Public Schools.

With the deal ending, over 2,400 people, both teachers and their family members on the district's silver plan will no longer have access to health care from Parrish. For those teachers who live in the north end of the county, that makes the nearest available hospital Rockledge Regional Medical Center. Reasons for the split are financial, according to Chris McAlpine, a senior vice president with Parrish Health Care. Cigna currently owes $1.3 million to Parrish for medical services provided to its patients, according to McAlpine and Parrish's figures.

“We cannot continue to operate at a loss with Cigna,” McAlpine said in a press release. “Operating at a deficit with Cigna means we would have to make up the difference from other payers, and/or increase our rates to self-pay patients, which is not fair to others who use our hospital."

In a press release, Parrish CEO and president George Mikitarian did not mince words, using strong language to lambast the insurance provider's practices.

“This matter could have been easily resolved some time ago by Cigna paying us what we are owed, $1.3 million,” Mikitarian said. "What has occurred has been to string us along hoping that we would just give in and go away. Under the conditions Cigna is imposing on us and the people we serve, we cannot and will not rescind our notice of termination. It’s the only avenue left to us. Shame on them for initiating such a heartless tactic!”

Kyle Savage, treasurer for the Brevard Federation of Teachers union, expressed his concern over the insurance coverage gap created for teachers who live in North Brevard and want to use Parrish's services on the silver plan.

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"I think it's disappointing that these two organizations can't come to an agreement. To my understanding, BPS and our teachers are their largest clients in Brevard. It seems like both sides are trying to use that as a bargaining chip," Savage said.

Despite the rocky negotiations between Cigna and Parrish, Savage said he and others with the union believe the two companies along with BPS can come to some sort of solution.

"We're hopeful that this if this deal can't get ironed out with CIgna that maybe BPS can iron something out with Parrish. It's always been our belief that this would get resolved and there wouldn't be a separation," Savage added.

This past month, BPS sent out a note to teachers currently on the Cigna silver plan to let them know about the disruption. It made clear that Cigna would offer help transitioning to find providers elsewhere after Dec. 16.

Without some sort of deal, however, Savage said many teachers are going to be left with much fewer options.

"We have a silver and a gold plan, and our gold includes Health First but it costs us more money. We have a silver that just includes Parrish and Steward," he said. "We have teachers on that silver plan and there about to lose about half of that network."

Tyler Vazquez is the North Brevard Watchdog Reporter at FLORIDA TODAY. Contact Vazquez at 321-917-7491 or tvazquez@floridatoday.com. Twitter: @tyler_vazquez

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This article originally appeared on Florida Today: Brevard teachers in a lurch after break between Cigna and Parrish