UNC/Rex Hospital Systems Warn They May Drop CIGNA from Network

February 11th, 2010

North Carolina’s Triangle Business Journal (12/9, Gallagher) reported that “after eight months [of] negotiations,” UNC and Rex hospital systems told CIGNA “customers to plan on paying more for their care starting Jan. 1.” Without a new contract, “more than 25,000 CIGNA of North Carolina customers would pay higher out-of-network fees if they visit physicians at UNC Health Care affiliates, including UNC Hospitals, Rex or UNC Physicians & Associates, Rex President David Strong told CIGNA patients in a letter.” CIGNA says it would “have to pass along the proposed rate increases in the form of higher premiums. … ‘We are unable to accept the demands made by UNC/Rex Hospital as a means to offset lower reimbursement rates received by the hospital from government sources,’” said CIGNA spokesperson Gwyn Dilday. CIGNA says UNC/Rex are asking for “nearly twice what Medicare pays.”

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