UAB reaches tentative deal to continue accepting UnitedHealthcare insurance
Patients with UnitedHealthcare will continue to have coverage for the care they get from the UAB Health System, as the two parties reached a tentative deal to continue their contract
“The UAB Health System and UnitedHealthcare have reached an agreement in principle on a new health insurance contract,” UAB said in a statement at 5 p.m., just before the contract expired. “This agreement ensures that UnitedHealthcare members can continue to access care from all UAB and UAB-affiliated medical providers without any disruption to services.”
According to UAB, both parties agreed to a one-week period to finalize terms, after which they plan to have a multi-year contract “providing stability and continued access to high-quality care for patients across the state,” the health system said.
United, the largest insurance provider in the nation, reaffirmed those terms, saying in a statement to AL.com that “we’ve reached an agreement in principle that will provide continued, uninterrupted network access to UAB. Our organizations have extended our current contract through Aug. 8 as we work to finalize the terms of a long-term agreement.”
UAB, which serves 1.4 million Alabamians, first announced the contract dispute last month, warning that if an agreement was not reached by today patients with United would “be personally responsible” for costs.
UAB said at the time that their issues with United included “below-market reimbursement rates, excessive claim denials and delayed payments.” Other hospitals around the country also had similar disputes with the insurance provider.
United shot back at the health system, calling it “one of the most expensive academic health systems in the Southeast.” They warned that UAB’s contract demands would “significantly increase premiums and out-of-pocket costs for consumers.”
Contract negotiations also broke down between the two 2019, and similarly, an agreement was reached shortly before the deadline.
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