David Holmberg, CEO of Highmark, says consumers are the winners: “Individuals, employers and groups can choose coverage based on their needs.” The agreement will end federal and state lawsuits filed by Pittsburgh-based UpMC and Shapiro in which Highmark intervened. This agreement focuses on western Pennsylvania and does not affect other regions. UPMC is grateful for the Attorney General`s leadership, as the agreement announced today is based on trust, compromise and cooperation. As always, UPMC remains committed to exceptionally meeting the health needs of Pennsylvanians. “There are these high-quality, low-cost plans, Community Blue is one of them that will not be affected by this agreement, they will still be limited to allegheny Health Network because they have never been part of the UPMC network.” Highmark CEO David Holmberg said that “not all parties got everything they wanted, but the people of Pennsylvania, I think, got what they demanded, which was power back to the consumer.” Wolf said at a press conference that while Highmark and UPMC will remain competitors, they are now better able to make decisions for the future because they know what their relationship will look like for the next 10 years. “This outreach has started an intense dialogue over the past week, first between me and (CEO) Jeffrey Romoff of UPMC, then with David Holmberg of Highmark, and then with conversations with the three of us,” Shapiro said. “It was an honest, tough and productive dialogue about what steps we could take together to protect access to care, no matter what the court would ultimately say.” A UPMC spokesperson said the issue had been resolved “collaboratively” and upMC “appreciates that we were able to secure this agreement with Highmark through a long-term contract in the network.” The 10-year agreement allows UPMC and Highmark to reserve the right to create additional plans that exclude the other – provided each patient has access to at least one plan that includes access to both systems. The terms of the contract between UPMC and Highmark will be finalized in the coming weeks. “In the end, they found their own solution,” Wolf said.
“They will always be competitors, but from what the Attorney General has done, they will still be accessible while competing. Community Blue is an attractive option because of its lower cost, but subscribers knew there was no UPMC access and this agreement doesn`t suddenly open the DOORS OF UPMC. UPMC-Highmark ScheduleJune 2011 — Highmark announces plans to expand beyond the insurance business by acquiring the former West Penn Allegheny Health System, which forms the basis of Highmark`s supplier arm, Demgheny Health Network. May 2012 — UPMC and Highmark reach negotiated agreement to maintain networked patient access until December 31, 2014 June 27, 2014 — Governor Tom Corbett and the Attorney General`s Office intervene after Highmark and UPMC failed to agree on a contract. The two systems sign a five-year agreement called a consent decree in hopes of making the transition easier for patients. October 30, 2014 – State health and insurance regulators attempt to despise Highmark for introducing a $0 Medicare Advantage monthly premium plan that explicitly excluded UPMC facilities. .