Dispute between United Healthcare, Baptist Health leaves patients without coverage
LITTLE ROCK, Ark. – Some Arkansas patients are scrambling after a major Natural State health care provider and an insurance company parted ways in a disagreement over rates.
Baptist Health and insurance provider United Health Care Group both have announced that as of Jan. 1 they no longer share an in-network agreement. Both companies cited being unable to reach mutually agreed-upon reimbursement rates for services.
A Baptist spokesperson said the hospital system had tried to correct for what the company sees as two challenges in its negotiations with United.
The first issue is “nationally low” reimbursement rates for Arkansas hospitals, while the second is what the spokesperson called an “unprecedented” rise in costs that took place in the wake of the coronavirus pandemic.
United countered those claims in a statement published on the company website. The insurer instead said the issue is Baptist asking for double-digit price hikes, which was already higher than the average paid to hospitals in its Arkansas network.
The statement on the United site said If the insurer agreed to the rate changes, costs for families and employers in Arkansas would unacceptably increase. The company continued that Baptist was using the size of its network to establish market dominance, leading to “skyrocketing” health care costs.
The Baptist spokesperson countered those claims, saying United’s allegations are “misleading and negative.” The health care provider added that the current offer from United was below the national average and less than the amounts being paid to hospitals in cities like Texarkana, Shreveport and Memphis.
United has indicated it is willing to continue negotiations.
Baptist posted additional information for patients with United insurance to its website at Baptist-Health.com, including instructions for patients on Medicare.
United also posted a Negotiations Q&A section with information on the dispute on UHC.com/BaptistAR.
The situation is similar to one between Conway Regional and United in July, when both sides could not reach an agreement on reimbursement rates. The impasse ended a month later.
Conway Regional reaches agreement with UnitedHealthcare, restores in-network care
The Baptist spokesperson said the hospital had reached an agreement with all other large payors in Arkansas.
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