UPMC, Highmark Still Can't Reach Agreement

The University of Pittsburgh Medical Center and Highmark have not been able to agree on a new contract, according to a Pittsburgh Tribune-Review report.

UPMC intends to cancel a contract with Highmark for most of its physicians and system hospitals (except UPMC Mercy and Children's Hospital of Pittsburgh of UPMC) on June 30, 2012, after which the health insurer's members would have to pay out-of-network rates for those providers. Highmark members will be able to access UPMC's facilities for up to a year after the contract's expiration but may need to obtain prior approval and pay more.

While Highmark members have access to every hospital, UPMC provides members with insurance for all hospitals except those owned by Pittsburgh's West Penn Allegheny, UPMC's rival. Highmark has talked with the Cleveland Clinic about financing a takeover of the West Penn system in an effort to preserve competition among hospitals.  

UPMC has negotiated contracts with Aetna, United HealthCare and Cigna.

Read the Pittsburgh Tribune-Review report on UPMC and Highmark.

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