More than 400,000 Cigna Healthcare members in Arizona could lose access to Tenet Healthcare’s Phoenix-based Abrazo Health network if the two organizations fail to reach a new agreement by the end of the year, the Phoenix Business Journal reported Dec. 12.
The contract dispute affects 413,000 enrollees in Arizona and is part of a broader negotiation between Cigna Group and Tenet. Tenet operates 64 hospitals, nearly 370 ASCs and employs about 2,000 providers nationwide.
The conflict centers on reimbursement rates for services provided to Cigna members, according to the report.
Abrazo Health is one of the state’s largest health systems, with hospitals and care sites throughout the Phoenix area. Without a resolution, affected Cigna enrollees may be considered out of network beginning Jan. 1.
“Tenet Healthcare is working hard to reach a fair agreement with Cigna. We are simply asking Cigna to provide the same equitable terms that other major payors already support. These terms include measures that make it easier for patients to get the approvals they need for care recommended by their physicians,” Tenet said in a statement to Becker’s. “It is disappointing that Cigna does not share our urgency in resolving this matter and appears to be willing to force our healthcare networks out of network. This could cause significant disruption for Cigna members in Phoenix and across the nation – patients could face treatment delays if they need to find a new physician or higher out-of-pocket costs to keep seeing their trusted providers”
Becker’s has reached out to Cigna for comment and will update this story if more information becomes available.
