Last week, Anthem Blue Cross Blue Shield made national headlines for their decision to limit anesthesia reimbursements – a policy they only reversed after intense public backlash. The decision showed Anthem’s willingness to put profits over patient care – and it’s not the first time.
Right now, the insurer refuses to negotiate a fair contract with Memorial Sloan Kettering Cancer Center (MSK), and it’s putting the health and well-being of thousands of New Yorkers at risk.
A cancer diagnosis is devastating, often bringing fear, uncertainty, and an urgent need for the best possible care. For thousands of patients across New York, MSK is the lifeline they rely on for that care. Every year, MSK treats more than 60,000 cancer patients, including one-third from New York City and 80 percent from the tri-state region. MSK’s mission to end cancer for life through groundbreaking research, compassionate care, and education is at the heart of what we do.
Anthem has underpaid MSK for years – currently reimbursing MSK at 34% less than other National Cancer Institute (NCI)-designated cancer centers in Manhattan. Despite our superior outcomes, this chronic underpayment has jeopardized our ability to continue providing the best care to our patients.
For nearly a year, MSK has engaged in good-faith negotiations with Anthem, trying to secure a fair agreement. But instead of working toward a resolution, Anthem is running a divisive public relations campaign to attack MSK and other hospitals – trying to distract patients from the real issue of access to life-saving care. Just recently, an op-ed in the Queens Eagle criticized MSK’s reasonable requests for reimbursement, echoing Anthem’s own messaging. A few weeks later, nearly identical language appeared in The Missouri Times targeting another healthcare provider. These coordinated attacks are part of Anthem’s broader strategy to deflect attention from its refusal to fairly compensate providers.
MSK’s superior care does come at a cost, but we’ve made significant efforts to control it. We’ve reduced pharmacy supply expenses, optimized lab operations, and made the difficult decision to scale back our workforce. But these measures can only go so far when Anthem’s reimbursement rates are so far below what’s needed to sustain our life-saving work. Even if Anthem accepted our proposal, MSK would still be reimbursed 10% less than our NCI-designated peers.
Anthem claims that MSK’s requests are excessive. But the truth is, Anthem continues to increase premiums for its members while reimbursing providers like MSK less.
The bottom line is clear: Anthem’s refusal to negotiate a fair and sustainable contract with MSK puts New Yorkers with cancer at risk. Anthem has a responsibility to its members to ensure access to the care they need and deserve. By refusing to agree to fair reimbursement rates, Anthem is failing in that duty.
Cancer patients’ lives are on the line. Anthem can demonstrate its commitment to its patients by agreeing to a fair and sustainable contract with MSK. It’s time to stop the gamesmanship and put patients first.
Michael P. Harrington is the Executive Vice President and Chief Financial Officer at Memorial Sloan Kettering Cancer Center