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Leading CT insurer raises claims against health system during contract discussions. UConn strongly responds.

Leading CT insurer raises claims against health system during contract discussions. UConn strongly responds.

Aetna and UConn Health Negotiations Ongoing

Aetna, the health insurance giant under CVS Health Corp. based in Hartford, is currently in negotiations with UConn Health.

Aetna expressed concerns, highlighting that UConn Health’s actions seem to focus primarily on increasing payment for their services. Aetna’s statement described UConn’s aspirations as, perhaps, striving to be one of the priciest health systems in New England.

In a warning issued late last month, UConn Health informed thousands of Aetna patients that they might lose their “in-network” status with the system’s hospitals, clinics, and healthcare providers if a new contract isn’t finalized soon.

The discussions revolve around reimbursement rates for services between UConn Health, which includes the John Dempsey Hospital and over 700 healthcare providers, and the Aetna insurance company. UConn Health indicated that around 15,000 patients could be affected if an agreement isn’t reached before the contract’s expiration on November 30.

UConn Health responded to Aetna, asserting that even with their excellent quality and outcomes, they are reimbursed at the lowest rates in Connecticut. They emphasized that their current reimbursement rates are below market rates, arguing that fair compensation from Aetna would bring them closer to median rates rather than making them the highest-paid system.

A spokesperson from UConn Health pointed out that, as Connecticut’s sole public academic medical center, their goal is to provide quality care at reasonable costs. However, they criticized Aetna’s approach, stating that their low reimbursement rates necessitate public funding to support Aetna’s profits while delivering top-tier care.

The spokesperson also mentioned that Aetna’s claim of negotiating in good faith is questionable, given the lack of response to a recent proposal. This delay is troubling, especially considering how it risks patient access to care. If no agreement is reached by November 30, it could mean no in-network access to UConn Health for Aetna members.

Aetna, boasting hundreds of millions in profits in the third quarter of 2025, holds a responsibility to act fairly towards families in Connecticut, according to UConn Health’s spokesperson. They maintain their commitment to good-faith negotiations to ensure continued patient care.

UConn Health believes its reimbursement rates are significantly lower than those of other hospitals statewide, even as they have seen revenue growth over the last decade and have earned a strong national ranking.

Conversely, Aetna argues that allowing UConn to increase rates could lead to higher healthcare costs in general. They assert that they have made serious efforts to come to a reasonable agreement, aimed at providing affordable healthcare for their members.

Aetna warns that if a deal isn’t struck by December 1, UConn facilities and physicians will no longer be in-network for most Aetna Commercial members and all Aetna Medicare members. Most of Aetna’s commercial clients are self-insured, which means employers and employees directly handle all medical expenses.

If negotiations stall past December 1, it will result in UConn’s healthcare services being out of network for a substantial portion of Aetna’s membership. However, retirees in Connecticut will still have access to UConn Health through an expanded service area, as indicated on the health system’s website.

Earlier this year, UConn Health took measures such as removing billboards along major highways to pressure another health insurer, ConnectiCare, into raising reimbursement rates. After acquiring ConnectiCare earlier this year, negotiations led to a new contract once the previous one expired.

Reporting by Kenneth Gosselin contributed to this article.

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