Updated Novermber 13, 2024

UF Health has provided its first proposal since allowing our contract to expire; continues to demand a more than 20% price hike in one year

More than two months have passed since the University of Florida Health (UF Health) allowed our contract to expire and left our network. It remains our priority to reach an agreement that is affordable for Floridians and employers and restores network access to UF Health.

Unfortunately, little progress has been made. While UF Health has publicly spoken about its urgency to reach an agreement, its actions behind the scenes illustrate otherwise.

It took UF Health 70 days to provide a counter to our last proposal, which included meaningful rate increases that would have ensured UF Health continued to be reimbursed at market-competitive rates.

UF Health’s latest proposal, which was received on Nov. 8, maintained its demands for a more than 20% price hike in the first year of our contract for our employer-sponsored commercial plans. In fact, UF Health’s proposal moved backwards in several areas. Algunos ejemplos incluyen lo siguiente:

  • UF Health is now asking for an additional 10% rate increase for their physicians on top of what they previously proposed on Aug. 29
  • The health system is demanding nearly 15% in additional price hikes on top of what they’d proposed in the past for people enrolled in our UMR plans

Rather than engaging in good-faith negotiation and collaborating on solutions that would put an end to this disruption, UF Health has spent the past few months spreading misinformation while leveraging our members to obtain outlandish rate increases that are not affordable for consumers or employers.

We understand you likely continue to have questions given the inaccurate information UF Health has repeatedly disseminated. We believe facts matter. We encourage you to go to www.uhc.com/ufhealth/facts, where you’ll find the truth regarding our negotiation.

We want to thank you again for your patience during this difficult negotiation. We know many people value having access to UF Health’s providers and are rightfully concerned an agreement has yet to be reached. Please know we remain committed to continued good-faith discussions. However, we need UF Health to join us at the negotiating table and to work toward solutions that are sustainable for Florida families and employers.

We believe quality care can also be affordable and the people of Florida deserve both.

University of Florida Health allows contract to expire; now out of network as of Sept. 1

The University of Florida Health (UF Health) is now out of network for people enrolled in the following plans, as of Sept. 1, 2024:

  • Employer-sponsored commercial plans, including UMR
  • The UF Student Health Insurance Plan through Student Resources
  • Planes de Medicaid

UF Health’s psychiatric hospital and UF Health Central Florida are on a separate contract and are not impacted by our negotiation. They continue to remain in our network.

Only UF Health St. John’s – Flagler Hospital and its physicians are out of network for our Medicare Advantage plans as of Sept. 1

This negotiation does not impact Medicare Advantage plans or our Dual Special Needs Plans (DSNP) at other UF Health hospitals and professional provider locations throughout the state, such as but not limited to: UF Health Gainesville, Jacksonville, Leesburg or The Villages Regional Hospital. They continue to remain in-network with UnitedHealthcare for our Medicare Advantage plans on and after Sept. 1. 

We delivered a contract on Aug. 31 to finalize the terms UF Health had indicated they’d accept for our Medicaid plan. The health system never responded, allowing our contract to expire

UF Health indicated on the morning of Aug. 31 a willingness to continue participation in our Medicaid network. We delivered a contract that provided the terms they sought. UF Health never responded, disrupting access to care for approximately 30,000 people enrolled in our Medicaid plan who rely on UF Health for their health care needs. 

We delivered a proposal on Aug. 30 that included meaningful movement and additional rate increases on top of what we’d already proposed for our employer-sponsored commercial plans. UF Health never responded to our commercial proposal and walked away from the negotiation

UF Health’s last proposal was sent on Aug. 29 and included demands for a 30% price hike over two years, including a more than 20% rate increase in the first year of our contract. UF Health’s proposal was not affordable or sustainable for Floridians and employers.

As part of our continued efforts to compromise and negotiate in good faith, we delivered a counter to the health system on Aug. 30 that included additional rate increases on top of what we’d already proposed. All of our proposals ensured UF Health would be reimbursed at rates similar to their peers in the market. UF Health never responded to our last proposal and allowed our contract to expire.

Nearly 70% of UF Health’s total price hike demands for our commercial plans would come out of the operating budgets of self-insured employers

UF Health’s rate demands would directly drive up health care costs for our self-insured customers given that these employers pay the cost of their employees’ medical bills themselves rather than relying on UnitedHealthcare to pay those claims. Nearly 70% of our commercial members throughout northern Florida are enrolled in self-insured plans.

Agreeing to UF Health’s rate demands would mean nearly 20 self-funded businesses would each see their health care costs go up by $200,000 or more in just one year. Three self-funded employers would see their costs increase by $550,000 or more each, with one experiencing approximately $1.5 million in increased health care costs over the next 12 months.

This would mean these employers have less money available to help grow their business through things like investments in new technologies or increase salaries for employees.

UF Health’s proposal would significantly impact what consumers pay for services received at its hospitals

To help illustrate the impact of the health system’s more than 20% price hike demands in just one year, consider the following examples:

  • The cost of a C-section would increase by more than $1,500 at Shands Jacksonville, while the same service would go up by more than $1,000 at Shands Gainesville.
  • The insertion of a permanent pacemaker would increase by approximately $11,000 at Shands Gainesville.
  • The cost of a Level 3-5 emergency room visit at Shands Jacksonville would increase by more than $550.

We provided UF Health a proposal that would ensure continued access to UF Health St. Johns – Flagler hospital, facilities and physicians for our Medicare Advantage plan.

Our proposal included the same terms and conditions we have in our existing contracts with all of UF Health’s other hospitals and providers that participate in our Medicare Advantage and DSNP network. UF Health refused to finalize the contract, unnecessarily disrupting access to care for our Medicare Advantage and DSNP members who rely on UF Health St. Johns – Flagler’s providers for their health care needs.

As a reminder, this negotiation does not impact Medicare Advantage plans or DSNP at other UF Health hospitals and professional provider locations throughout the state, such as but not limited to: UF Health Gainesville, Jacksonville, Leesburg or The Villages Regional Hospital. They continue to remain in-network with UnitedHealthcare for our Medicare Advantage plans on and after Sept. 1. 

It remains our goal to reach an agreement that is affordable and restores network access to UF Health. However, we need UF Health to approach the negotiating table with a realistic proposal Floridians can afford and to finalize the terms of our Medicaid contract we’ve agreed to.

We have created the following FAQs to ensure you and your family have the information needed regarding next steps as well as details to help meet your health care needs:

Preguntas frecuentes