Letter: Carson City hospital may terminate contract with United Healthcare

Carson Tahoe Regional Medical Center moved to its scenic location in south Carson City in 2005.

Carson Tahoe Regional Medical Center moved to its scenic location in south Carson City in 2005.

Carson Tahoe Healthcare may be seeking to terminate its contract for service reimbursement with United Healthcare Insurance Co., and its affiliates, Northern Nevada Health Network, Inc. and Optum.

In a letter posted to social media that appears to be from Carson Tahoe Health President and CEO Michelle Joy, she said that if Carson Tahoe and United Healthcare aren’t able to reach an agreement, hospital patrons might have to find another healthcare provider.

“CTH has experienced ongoing payment issues with United such that CTH has given notice of its intent to terminate its contracts with United,” according to the letter. “Although CTH has continued to deliver services to United Members and Customers, a significant number of claims for services already provided remain unpaid or underpaid, therefore, CTH will be forced to end its relationship as an in-network provider of United.”

The Record-Courier has reached out to the hospital’s media relations to verify the letter and its contents.

It appears payment issues predated a Feb. 21 cyber attack on Change Healthcare, which is affiliated with the United Health Group.

“While we are doing everything in our power to avoid any potential disruptions, if a resolution is not soon reached with United, you may no longer be covered by United for healthcare services at CTH,” the letter said. “In the event CTH is unable to reach an agreement with United and our contracts with United are terminated, it will be necessary for you to find a healthcare provider within the United network to maintain your coverage.”

On Monday, the United Healthcare issued an update on the attack.

“Change Healthcare can confirm we experienced a cybersecurity issue perpetrated by a cybercrime threat actor who has represented itself to us as ALPHV/Blackcat,” the company said in a post on Monday at unitedhealthgroup.com

Pharmacies across the country, including in Gardnerville and Lake Tahoe, have been affected.


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