Mercy Health and Cigna Reach Network Agreement in Ohio
Mercy Health has secured a contract to keep Cigna commercial health insurance plans in its network after negotiating medical prices. The agreement, reached after a 24-hour contract extension, avoids a lapse in coverage for approximately 30,000 Ohio residents insured through Cigna who utilize Mercy Health services, including Mercy Health-St. Rita's Medical Center in Lima. This development highlights the increasing importance of contract negotiations between healthcare providers and insurance companies, as patients are often caught in the middle of these discussions.
Dr. Matt Owens, chief clinical officer for Mercy Health-Lima, expressed satisfaction at having reached a new agreement, emphasizing the importance of access to affordable healthcare for the community. Mercy Health had previously indicated concerns over stagnant rates from Cigna over the last six years, while Cigna claimed that Mercy's proposed price increases could make care too costly.
Historically, disputes between healthcare systems and insurance providers have occasionally led to disruptions in patient access to in-network services. For instance, nearly 50,000 Ohioans lost access to in-network services from Mercy Health when a similar dispute arose with Anthem-managed Medicaid plans two years prior. Those issues were resolved, but they demonstrate the potential impacts of negotiations on patient care.