PHOENIX — Toward the end of the year, health insurance companies and health care providers begin their contract negotiations dance.
The dance card is money. Health care providers want more and insurance companies want to pay less.
Health insurance enrollees will usually get a letter from either their provider or their insurance company warning them the provider may not be in their network come Jan 1. For the most part, they work things out.
Dallas-based Tenet Healthcare Corp. (NYSE: THC) and St. Louis, Missouri-based Centene Corp. (NYSE: CNC) were in contract disputes over reimbursement fees, but managed to come to an agreement just in time.
Meanwhile, Phoenix Children's has until Feb. 1, to work out its contract dispute with Bloomfield, Connecticut-based Cigna Corp. (NYSE: CI) or the hospital won't be considered in-network by the insurance company.
But Cincinnati, Ohio-based The Kroger Co. (NYSE: KR) and Cigna ran out of time on their contract negotiations.
