Updates on Anthem’s ongoing negotiations with University of Missouri Healthcare
Updated Feb. 12, 2025 – This blog post will be updated as more information becomes available.
TIG Advisors is closely monitoring the ongoing negotiations between Anthem Blue Cross Blue Shield and MU Healthcare (MU Health) and is requesting regular updates. These negotiations also affect the HealthLink network, which is owned and operated by Anthem.
Commercial and employer-sponsored plans
MU Health and Anthem are actively negotiating regarding commercial, employer-sponsored, and ACA marketplace plans. The deadline for reaching a new agreement is March 31, 2025. Both parties are working toward a multi-year contract to ensure MU Health remains in Anthem’s networks beyond April 1, 2025.
Medicare Advantage plans
On Feb. 11, local media reported that, starting April 1, 2025, MU Health will no longer participate in Anthem’s Medicare Advantage plans. This change could impact approximately 6,800 patients who will lose in-network access to MU Health providers and facilities unless a new agreement is reached before the deadline. It is unclear if the two parties will resolve this contract prior the April 1 deadline.
Background on network contract negotiations
Both MU Health and Anthem play a role in determining healthcare costs for Missouri consumers.
Increases in network reimbursement rates directly impact member cost-sharing (co-pays, co-insurance, and deductibles) as well as health insurance premiums paid by individuals and employers. So, both parties need to negotiate in good faith to establish network reimbursement rates that are fair for providers and consumers.
Health insurance carriers and healthcare providers regularly renegotiate network reimbursement contracts. Most agreements between insurance networks and providers last two to three years.
In Missouri, 80% of Anthem members are covered by employers who directly pay for portions of their employees’ healthcare claims and/or premiums.
Outlook
As of now, MU Health and Anthem remain in active negotiations and are making progress toward an agreement for commercial and employer-sponsored plans before the March 31 deadline.
- Anthem is committed to keeping MU Health in its networks and remains focused on reaching a new agreement.
- Over the past several years, Anthem and MU Health have mutually agreed to reasonable payment increases in line with current economic conditions.
- Anthem recently concluded similar negotiations with Mercy Health System (St. Louis) and successfully reached an agreement to continue in-network arrangements.
Additional Resources
Both Anthem and MU Health have established websites to provide updates on the status of these contract negotiations. You can find links to those resources below:
https://www.muhealth.org/anthem
Contact TIG Advisors for more information on employee benefits.
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