In the event we are unable to reach an agreement, HHC’s hospitals, facilities and its physicians will be out of network for the following benefit plans, effective April 1, 2025.
- UnitedHealthcare employer-sponsored and individual commercial plans
- Oxford commercial plans
- Medicare Advantage plans, including Group Retiree and Dual Special Needs Plans (DSNP)
People enrolled in UnitedHealthcare fully insured commercial plans and Oxford plans will continue to have network access to only HHC’s hospitals through May 31, 2025, in accordance with Connecticut cooling off requirements.
As part of our effort to minimize potential disruption for our members, we have agreed to apply cooling off for UnitedHealthcare ASO and Oxford commercial members as well, meaning they’ll continue to have network access to HHC’s hospitals through May 31, should HHC go out of network.
As a reminder, cooling off only applies to HHC’s hospitals for UnitedHealthcare and Oxford commercial plans.
HHC continues to seek a near 20% price hike for our commercial plans over the next three years as well as a significant rate increase for our Medicare Advantage plans. Altogether, HHC’s latest proposal would increase health care costs by nearly $200 million.
The rate increases HHC is seeking are approximately double the 2.9% health care cost benchmarkthe Office of Health Strategy (OHS) established for 2025 as part of the state’s efforts to slow the unsustainable rise in health care costs. Agreeing to this would drive up premiums and out-of-pocket costs and is not affordable or sustainable for Connecticut families or employers.
HHC’s proposal would make it substantially higher cost than any health system in our Medicare Advantage network in Connecticut
The rate increases HHC is seeking are more than double the 2.9% health care cost benchmark the Office of Health Strategy (OHS) established for 2025 as part of the state’s efforts to slow the unsustainable rise in health care costs. Agreeing to this would drive up premiums and out-of-pocket costs and is not affordable or sustainable for Connecticut families or employers.
HHC’s proposal would make it substantially higher cost than any health system in our Medicare Advantage network in Connecticut
HHC’s proposal would drive up overall health care costs while directly impacting the benefits our Medicare Advantage members rely on.
The cost of care at HHC’s ambulatory surgical centers (ASCs) are significantly higher than the average cost of all other ASCs in our network throughout Connecticut
The average cost of a procedure at an HHC ASC is nearly $4,000 higher than what it costs on average at other ASCs throughout the state.
HHC has acquired a large number of ASCs throughout Connecticut over the past several years, driving up costs for consumers and employers. HHC acquired seven ASCs in 2022-2023 that were previously contracted at market-competitive rates. The costs at these ASCs increased by more than 77% on average in the second year following HHC’s acquisition of them, with four of them seeing their costs more than double.
To help illustrate the impact on a consumer, consider the following examples, which show how much higher cost these procedures are at an HHC ASC compared to the average cost of all other ASCs in our network in Connecticut.
The cost of care with HHC’s physicians is approximately 20% more than the average cost of all other physicians in our network in Connecticut
To help illustrate the impact on a consumer, consider the following examples, which show how much higher cost these procedures are at an HHC physician compared to the average cost of all other physicians in our network in Connecticut.
*Magnetic resonance angiography (MRA)
More than 65% of HHC’s proposed price hikes for our commercial plans would be paid out of the operating budgets of self-insured employers
This would directly drive up health care costs for self-insured companies given that they pay the cost of their employees’ medical bills themselves rather than relying on UnitedHealthcare to pay those claims. The majority of our commercial members in Connecticut are enrolled in self-insured plans.
Agreeing to HHC’s proposal would mean nine self-funded businesses would see their health care costs go up by at least $500,000 or more, while some of the most heavily impacted employers would see their costs increase between $1.3 million to as much as $6.3 million.
We are proposing rates that ensure HHC continues to be reimbursed at market-competitive costs. We must also balance the need for affordable health care for the people and employers we serve.
We know the relationship people have with their doctor is not only important; it’s personal. That is why our top priority is to renew our relationship with HHC so the people we serve have continued access to the facilities and physicians they know and trust for their health care needs. We are committed to meeting with HHC as often as it takes to reach a new agreement.
We hope HHC shares our commitment to find a solution that is sustainable for consumers and employers.
We have prepared the following FAQs to ensure our members have the information they need regarding the negotiation as well as next steps
Frequently asked questions
