Northern Light, Anthem Contract Negotiations Collapse Before Deadline
URGENT UPDATE: Negotiations between Northern Light Health and Anthem Blue Cross Blue Shield have stalled, leaving thousands of patients without in-network coverage as of Wednesday. Mediation talks ended without an agreement just hours before the midnight deadline on September 30.
According to Suzanne Spruce, spokesperson for Northern Light Health, “Northern Light Health physicians and medical providers are no longer in network for Anthem commercial insurance plans.” This sudden shift affects approximately 30,000 patients relying on services from Northern Light’s facilities, including Eastern Maine Medical Center in Bangor and Mercy Hospital in Portland.
The urgency surrounding this situation escalated as Jim Turner, spokesperson for Anthem, disclosed that they requested an extension of the current contract to prevent service disruptions while negotiations continued. “We await their response,” he said. However, Spruce countered, stating that “Anthem has not given us any reason to believe that an extension of the contract at this time would be in the interest of our patients.”
Patients should be aware that under most insurance plans, out-of-network services often result in higher out-of-pocket costs. Northern Light had previously warned that if negotiations stalled, some physicians and services would transition to out-of-network status immediately, while hospital-based services would follow on December 31.
The crux of the dispute centers on payment rates for Northern Light’s healthcare providers. Anthem officials have claimed that Northern Light requested a 30% rate increase, a statement Northern Light vehemently denies.
As tensions rise, the negotiations have faced multiple interruptions since August, and the situation is drawing public attention. Similar disputes have occurred in the past, including a protracted conflict between MaineHealth and Anthem that ultimately concluded with a settlement.
What happens next remains uncertain as both sides are at an impasse. Northern Light Health has expressed its commitment to working towards a new contract but has not provided a timeline for when negotiations might resume. Patients and families affected by this collapse are urged to explore alternative coverage to avoid disruptions to their care.
Stay tuned for more updates as this developing story unfolds.
