Aetna, Providence Reach Multi-Year Network Agreement in Oregon

Providence Health & Services and Aetna, a CVS Health-owned national insurer, have reached a multi-year agreement restoring Providence’s network status for Aetna members in Oregon. This agreement allows Aetna’s commercial insurance members to access Providence’s eight hospitals and over 90 clinics without higher out-of-network costs, effective December 1 for most areas and November 15 for southern Oregon. The renewed partnership resolves a nearly year-long contract dispute over payment rates between the two entities. Although the agreement restores network access broadly for commercial plan members, Aetna Medicare Advantage members only have in-network access to Providence facilities in southern Oregon, impacting a smaller segment of Aetna’s Oregon membership. With over 250,000 Oregonians insured under Aetna’s self-funded employer commercial plans and an additional 50,000 in individual, group, or student plans, this agreement significantly impacts health care access and insurer-provider relations in the state. The deal illustrates ongoing tensions and negotiations in the health insurance industry due to rising healthcare costs and highlights the importance of network agreements for managing patient access and cost structures.