New Jersey’s largest hospital system, Hackensack Meridian Health, has reached a deal with Aetna two weeks before their contract was set to expire, ending a dispute that threatened to cause widespread disruptions to patient care.
Aetna members will now be able to continue receiving care through the health system at in-network rates, as usual.
Hackensack Meridian had sent letters to patients insured by Aetna earlier this month warning them that if the two parties could not agree to new reimbursement rates by July 1, patients would lose in-network coverage to the health system’s network of 18 hospitals and 7,000 doctors. Some patients would have likely had to find new care teams, while others were weighing paying more out of pocket to keep their doctors.
Representatives for Hackensack Meridian and Aetna issued statements celebrating the multiyear deal on Tuesday, but did not offer details on any price increases that they agreed to.
Amid the contract dispute, Aetna accused Hackensack Meridian of trying to raise its rates too high, while Hackensack Meridian said it needed to cover rising costs related to staffing and inflation.
“We know how important it is for the patients and families who depend on us to have access to in-network care, and we appreciate Aetna’s partnership and shared commitment to do what is in the best interest of the communities we serve,” Hackensack Meridian Health’s CEO Robert Garrett said in a statement on Tuesday.
Hackensack Meridian is the latest example in a series of major hospital networks involving patients in their contract negotiations by sending out ominous letters warning that they could lose coverage for their hospitals and doctors. Hackensack Meridian’s letter to patients earlier this month asked them to call Aetna to put pressure on the health insurer.
When asked for comment on the decision to alert patients to the possibility that they would lose their coverage, Hackensack Meridian spokesperson Benjamin Goldstein said, “We have a responsibility to communicate early, quickly and transparently with our patients, who are our first priority and mean the world to us.”
If the deal had gone south, some Aetna members would have lost coverage at Hackensack Meridian right away on July 1, while others would have retained coverage for several months, depending on their plans.
