Cigna claims CommonSpirit Memorial is seeking higher rates due to contract renewal challenges

Tennessee Valley Residents Face Healthcare Dilemma

Residents in the Tennessee Valley are facing crucial healthcare choices in the upcoming weeks as CommonSpirit Memorial, previously CHI Memorial, prepares to possibly end its long-standing contract with Cigna Healthcare by the end of this month.

If you’re a patient receiving care at CommonSpirit Memorial and have Cigna Healthcare, it might be wise to check your mailbox. For weeks, the hospital has been sending out notifications explaining that contract negotiations are ongoing, but without progress.

In a statement to Local 3 News, CommonSpirit Memorial mentioned they’re committed to “good faith negotiations” with Cigna to ensure that patients have access to quality care. “We want to maintain access to our hospital and providers for Cigna’s employer-based plan members,” they added. Their aim is to renew contracts by February 1, 2026, to ensure uninterrupted access for patients in-network.

However, Cigna responded with concern, noting that CommonSpirit Memorial is already one of the pricier hospitals in the greater Chattanooga area and is now asking for rate increases that could lead to higher costs for patients. They stated they’re trying to negotiate fairly and have even proposed extending the current contract while talks continue, but CommonSpirit has not agreed to this extension.

If CommonSpirit leaves the Cigna network, Cigna warns that patients will no longer benefit from lower in-network prices, likely resulting in higher costs for the same services. Patients may have to choose out-of-network benefits, which are typically more expensive, or cover the full costs themselves.

As the end of January nears, anxiety is rising among patients. “Many families will feel the financial impact, losing their long-time doctors and networks,” expressed Katie Houston, a Cigna member. She highlighted that her family has been with Cigna since January 2022 and that affordable medical care is vital due to her severe food allergies and her family’s health needs.

Living just a few minutes from Hixson Memorial has made accessing emergency care simple for her, and she fears losing continuity with her family doctor of over 25 years. “It’s tough to think about having to start over and find someone new,” she mentioned.

Houston pointed out that patients are left with a tough choice: pay out of pocket to see a familiar provider or search for a new doctor and potentially re-explain their medical histories. With just three weeks until a decision is needed, she hopes for a compromise between CommonSpirit Memorial and Cigna.