UPDATED: July 1 at 10:15 a.m.
UnitedHealthcare and Memorial Sloan Kettering reached a contract agreement just in time to avert a network lapse for patients.
Both the health system and insurer said Tuesday the deal ensures that people enrolled in plans through UnitedHealthcare or its Oxford subsidiary will continue to have in-network access to MSK's services. UnitedHealth said the deal is "multi-year," though further details about the contract were not immediately revealed.
“We understand how difficult and deeply personal this negotiation has been for people and their families,” Junior Harewood, UnitedHealthcare CEO for New York, said in a statement. “We are pleased to renew our relationship and provide continued access to MSK for the people who rely on them for quality cancer care.”
"MSK is committed to fair agreements that support our ability to deliver expert, compassionate, and cost-efficient care," the health system said.
Memorial Sloan Kettering is warning patients it may soon be out of network for UnitedHealthcare members.
The cancer center and health insurance giant are in the process of negotiating a new network agreement, and, if they're unable to reach a deal by June 30, patients will be out-of-network beginning July 1, according to a notice posted by MSK.
Under the 60-day "cooling policy" in place in New York, people enrolled in fully insured plans through UHC or its Oxford subsidiary will still have coverage for MSK's hospital services through Aug. 31, the provider said.
MSK said it has "worked hard to reach a long-term agreement with UHC," and the insurer rejected its proposal as well as "continuity of care" plans that would have kept a patient in connection with their medical team during their treatment.
"This would jeopardize access to world-class cancer care for millions of UHC-insured individuals and could immediately disrupt care for thousands of patients—including those in active treatment," MSK said.
UnitedHealthcare countered in a notice that MSK is asking for a 30% price hike on average across its hospital, facilities and physician services. That includes a rate increase of 36% at Memorial Sloan Kettering Cancer Center, UHC said.
The insurer said its goal at the negotiating table is to "provide health care that is affordable for people and employers." It added that the contract hasn't run out yet, and they're still in negotiations.
"Our top priority is to reach an agreement with MSK that is affordable for consumers and employers," Junior Harewood, UnitedHealthcare CEO for New York, said in a statement. "We have proposed substantial rate increases that would continue to reimburse MSK at levels significantly higher than other National Cancer Institute-designated health systems in the New York City metro area."