UnitedHealthcare, Memorial Hospital in Illinois Pitted in Reimbursement Battle

Memorial Hospital in Belleville, Ill., and UnitedHealthcare are embroiled in a contract dispute, and if the issue is not resolved by June 30, Memorial and its physicians will be out of network for UnitedHealthcare patients, according to a St. Louis Post-Dispatch report.

Memorial has gone public with the battle, sending a letter to its patients and saying UnitedHealthcare is currently paying the hospital at "below-market rate," according to the report. In response, UnitedHealthcare officials said the hospital's reimbursement proposals are "unaffordable."

Joe Lanius, Memorial's CFO, told the Post-Dispatch both sides are "struggling over the same dollar. United is a big plan and wields its size at times. It's a tough plan to negotiate with. It leads to frustration."

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