Potential Disruption of Care for Thousands at Memorial Sloan Kettering Due to Contract Dispute

Nearly 20,000 patients receiving treatment at Memorial Sloan Kettering (MSK) may face losing access to in-network care as the hospital negotiations with UnitedHealthcare reach a critical deadline. The two parties must agree on reimbursement rates by June 30 to avoid a lapse in coverage for many in need of urgent cancer treatment.

Patient Lee Kassler, from Plainview, Long Island, expressed shock and anxiety upon hearing that his ongoing treatment could be disrupted starting July 1 if no agreement is reached. Kassler, who has been battling incurable gastric cancer since 2022, shared his fears about losing access to his trusted medical team during a challenging time.

Memorial Sloan Kettering Cancer Center sign. — Memorial Sloan Kettering emphasizes the need for increased reimbursement rates from UnitedHealthcare to sustain its specialized care.

MSK officials argue that their current reimbursement rate increases of 1.6% annually over the past five years are insufficient given the rising costs of providing advanced cancer treatments. They are seeking higher rates to reflect the true value and expense of their services. The hospital claims that UnitedHealthcare is demanding a 35% rate increase over three years, which could cost the insurer nearly $470 million.

UnitedHealthcare counters by stating their proposals are fair and sustainable, positioning their rate increase as a way to continue offering high-quality care without overburdening consumers and employers. They claim their proposed rates are still significantly higher than other leading cancer centers in the region.

MSK has indicated that if an agreement isn’t reached by the deadline, a state law mandates a cooling-off period, allowing some patients to receive care through August. Patients with certain fully insured plans may also seek temporary extensions for ongoing treatment.

Ultimately, the hospital’s CEO stressed that the dispute risks putting thousands of vulnerable patients in jeopardy, emphasizing the hospital’s commitment to prioritizing patient care above all.

As the deadline approaches, patients like Kassler remain hopeful for a swift resolution, with Kassler wishing for a timely deal so he can continue his treatment without interruption.