Farmington health insurer ConnectiCare announced it has reached a new contract agreement with the parent company of three Connecticut hospitals allowing the care providers to remain in network.
The agreement has been signed with Prospect Medical Holdings Inc., the parent of Manchester Memorial, Rockville General and Waterbury hospitals, along with doctors in the Prospect Professional Provider IPA.
About 6,500 ConnectiCare customers had received a Jan. 26 letter informing them that, as of March 1, Prospect’s Connecticut care providers would no longer be able to participate in its coverage network.
But, the two sides ended up reaching a contract agreement last week and there will be no lapse in coverage, ConnectiCare announced. Terms of the contract weren’t disclosed.Â
“Prospect worked with ConnectiCare to settle this matter,” said Erik Johnson, ConnectiCare vice president, provider network and population health. “We’re pleased we were able to reach an agreement so our members can continue to access care at Prospect hospitals on an in-network basis.”
The Manchester Journal Inquirer previously reported that Prospect was seeking adequate compensation from ConnectiCare to cover the costs of its Connecticut hospitals. The state allowed health insurance rates to increase last year, including by an average of 15% for ConnectiCare, a Prospect spokesperson told the Journal Inquirer.
