UVM Health Network and UnitedHealthcare reach last minute agreement on coverage

Days before coverage was set to expire on March 1, the University of Vermont Health Network has reached an agreement with UnitedHealthcare to extend coverage for patients covered by the company's commercial insurance plans through March 31, 2026.

The Health Network and UnitedHealthcare have been arguing over money for more than a year, with the Health Network saying it loses money on every patient covered by UnitedHealthcare's commercial insurance plans and UnitedHealthcare complaining the Health Network was demanding more than a 15% price hike in one year. The health insurer said agreeing to UVMHN's demands would mean the cost of care at UVM Medical Center would increase by more than 35% since 2020.

Nearly 2,000 Vermonters covered by UnitedHealthcare commercial plans were originally slated to lose their in-network insurance coverage on April 1, 2023, before two extensions pushed the deadline out to March 1 of this year, and an end to coverage was narrowly averted.

UnitedHealthcare comes back to negotiating table after months-long absence

Health Network spokeswoman Annie Mackin said Wednesday UnitedHealthcare returned to the negotiating table for the first time since June 2023, and "we were able to figure it out." While she declined to provide the financial specifics of the agreement, Mackin said the Health Network is getting what it needs to provide care to patients covered by UnitedHealthcare.

Dr. Sunny Eappen, president and chief executive officer of the UVM Health Network, said in a statement that while he's glad to have averted a loss of coverage for UnitedHealthcare patients, he's sorry for the stress and confusion the protracted negotiations caused.

"I'm certain our patients, families and caregivers who are impacted by this are frustrated," Eappen said. "This is not how we want to engage with payer partners and hope we don't end up in a situation like this in the future."

UnitedHealthcare did not return a call for comment.

These plans were never affected by the negotiations over UnitedHealthcare's commercial insurance plans

The following plans were not impacted by the renewal negotiations at any point, and patients will continue to receive uninterrupted coverage:

• Non-commercial UnitedHealthcare plans managed by the state or federal government, such as Medicare Advantage, Managed Medicaid and VA Community Care Network
• United Medicare Supplemental plans
• United Behavioral Health plans
• The Empire Plan for New York State employees

The UVM Health Network includes UVM Medical Center in Burlington, Central Vermont Medical Center in Berlin, and Porter Medical Center in Middlebury, plus three hospitals in northern New York across Lake Champlain.

Contact Dan D’Ambrosio at 660-1841 or ddambrosi@gannett.com. Follow him on X @DanDambrosioVT.