UPMC, Highmark still in negotiations
May 28, 2002
Pitt students who rely on UPMC Health Systems and participate in Highmark Blue Cross Blue… Pitt students who rely on UPMC Health Systems and participate in Highmark Blue Cross Blue Shield may be facing changes in their healthcare options. For more than a year, the two groups have remained in negotiations, as the deadline for an agreement draws near.
While both sides emphasized they are hopeful for an agreement and active negotiations are still taking place, neither business has been able to create a deal that is acceptable to both parties.
The main issue involves the amount of reimbursement Highmark should be giving UPMC, both in the future and retroactively. According to Jane Duffield, a spokeswoman for UPMC, the medical center receives 3 percent fewer for reimbursement than in 1996. With inflation, this figure could adjust to 21 percent.
The negotiations have prompted a statement from the Pittsburgh Business Group on Health. Consisting of over 42 mid-size and large employers in the Pittsburgh region, the PBGH is a business coalition that watches over health care for local employees, retirees and their dependents.
In its statement, the PBGH urged Highmark and UPMC to reach a decision, stating that failure to do so will cause