When asked about contract disputes with healthcare providers during a Jan. 12, 2024 earnings call, UnitedHealthcare CEO Brian Thompson had this to say:
“Any disruption for our consumers is too much. They come to rely on an in-network provider relationship, they have a coverage expectation from their health plan. So, we obviously want to avoid that type of network disruption…”
We couldn’t agree more.
But it begs the question: Why is UnitedHealthcare behaving in a manner that seems to completely contradict that sentiment? Why is the insurer terminating contracts with trusted healthcare providers in Florida and elsewhere around the country?
According to Thompson, it comes down to affordability.
Let’s look at the situation involving one of Florida’s leading anesthesia providers: American Anesthesiology of Florida. The practice had a longstanding relationship with UnitedHealthcare (and other insurers) to provide quality care for United beneficiaries throughout Florida. In December, 2023, UnitedHealthcare abruptly terminated the anesthesia group’s agreement and demanded unsustainable cuts to reimbursement.
What happened? The anesthesiologists must have been seeking unreasonable pay increases, right?
Nope.
American Anesthesiology of Florida wasn’t seeking any rate increase, even though one certainly would have been warranted after eight years given the rising cost of delivering anesthesia care.
Here are the facts: American Anesthesiology of Florida and American Anesthesiology Services of Florida had rates that remained flat since 2016 — despite inflation rising more than 26% in South Florida during that time. Just one rate, year after year.
So, if the anesthesiologists weren’t after a pay increase, what happened?
Were there problems with quality? No.
Problems with service? No.
In fact, UnitedHealthcare said that it wanted to keep the anesthesiology practice in network — it just wanted to dramatically slash their rates. Their 2016 rates.
As the nation’s largest healthcare company, UnitedHealthcare often uses its size to strong-arm providers in Florida and around the country. And it often works.
When American Anesthesiology of Florida refused to accept these unsustainable cuts, the practice was promptly kicked out of network.
That sure doesn’t sound like a company that wants to avoid network disruption for its customers. That sounds like a company that puts the interests of shareholders above all else.
Do better, United.