LOUISVILLE, Ky. (WDRB) — Louisville hospital giant Norton Healthcare and national insurer Cigna Healthcare have resolved a standoff over payments that had threatened to saddle about 10,000 Norton patients with higher costs starting Tuesday.
The months-long dispute was resolved over the weekend, ensuring that Norton patients covered by Cigna's commercial insurance will remain in network.
"Thank you for placing your trust in Norton Healthcare and allowing us to provide for your health needs. We know that you have a choice in health care providers, and we want you to know we sincerely appreciate the faith you have placed in our organization," Norton Healthcare said in a letter to patients on Sunday.
Norton and Cigna had been at odds over payments, with Norton saying it needed higher rates to maintain its services and Cigna saying the increases would make health insurance more expensive.
Had they not agreed on a new contract, Cigna-covered patients would have been subject to higher out-of-network costs when using Norton facilities and doctors starting Tuesday.
Norton is one the biggest health systems in Louisville, operating hospitals, cancer centers and primary and urgent care offices, with $3.6 billion in 2022 revenue. Norton Children's is the only pediatric hospital in Louisville.
Cigna is one of the nation's largest insurers, with a stock market value of about $75 billion.
Cigna told its members in a May 6 letter that Norton was demanding "higher-than-average prices that would make your healthcare much more expensive."
Norton previously told WDRB: "Quality care is what is most important to us. We have to be appropriately resourced through reimbursements from insurance companies to be able to do this."
