Money dispute between Allegheny Health and Cigna could cost 20,000 residents
If contract negotiations with a large insurance company fail, thousands of local residents will lose lower-priced access to Allegheny Health Network doctors and services
As money editor Jon Delano explains, health insurance giant Cigna and Allegheny Health Network may sever all connections on June 30.
On May 24, local residents with Cigna health insurance received this letter from Cigna, warning that if Allegheny Health Network drops it on June 30, "You'll likely pay more for the same services at their hospitals."
"Naturally, that caused me and is still causing me some stress in my daily life, trying to figure out what is going to happen next," one AHN patient said.
Some 20,000 others who use physicians and facilities at Allegheny General, West Penn, Forbes Regional, Canonsburg General, Jefferson Regional, Grove City Medical, Saint Vincent Health, and AHN Wexford could be denied less expensive in-network coverage.
"We're going to be severely impacted by this," the patient said. "Not only are we faced with finding new doctors for conditions that need ongoing medical care, I think we all know that it is very difficult to find a new doctor and get an appointment timely."
The dispute between Cigna and Allegheny Health is all about money. AHN wants higher reimbursement fees than Cigna, so far, is willing to offer. AHN is hopeful an agreement can still be reached.
"AHN is fully committed to continuing negotiations with Cigna in hopes that a new contract can be reached that provides fair and equitable reimbursement rates to the health system for the high-quality services it delivers," said Dan Laurent, the vice president of corporate communications. "We sincerely regret the concern and inconvenience that this matter may cause to our valued patients."
Both Cigna and Allegheny Health are telling patients that if they can't reach a deal by June 30, those still undergoing treatment, like for cancer or pregnant women awaiting births, will continue to get services at lower in-network prices under a so-called continuity of care agreement.
But most local Cigna customers will need to either switch insurance companies or relocate to Cigna-covered medical facilities. As these large corporations battle over dollars, one patient wants to remind both of one thing.
"Please keep in mind it is people's health that is in the crossfire here."
