AAMC, Aetna resolve contract dispute [The Capital, Annapolis, Md.] - Insurance News | InsuranceNewsNet

InsuranceNewsNet — Your Industry. One Source.™

Sign in
  • Subscribe
  • About
  • Advertise
  • Contact
Home Now reading Newswires
Topics
    • Advisor News
    • Annuity Index
    • Annuity News
    • Companies
    • Earnings
    • Fiduciary
    • From the Field: Expert Insights
    • Health/Employee Benefits
    • Insurance & Financial Fraud
    • INN Magazine
    • Insiders Only
    • Life Insurance News
    • Newswires
    • Property and Casualty
    • Regulation News
    • Sponsored Articles
    • Washington Wire
    • Videos
    • ———
    • About
    • Meet our Editorial Staff
    • Advertise
    • Contact
    • Newsletters
  • Exclusives
  • NewsWires
  • Magazine
  • Newsletters
Sign in or register to be an INNsider.
  • AdvisorNews
  • Annuity News
  • Companies
  • Earnings
  • Fiduciary
  • Health/Employee Benefits
  • Insurance & Financial Fraud
  • INN Exclusives
  • INN Magazine
  • Insurtech
  • Life Insurance News
  • Newswires
  • Property and Casualty
  • Regulation News
  • Sponsored Articles
  • Video
  • Washington Wire
  • Life Insurance
  • Annuities
  • Advisor
  • Health/Benefits
  • Property & Casualty
  • Insurtech
  • About
  • Advertise
  • Contact
  • Editorial Staff

Get Social

  • Facebook
  • X
  • LinkedIn
Newswires
Newswires RSS Get our newsletter
Order Prints
December 17, 2011 Newswires
Share
Share
Post
Email

AAMC, Aetna resolve contract dispute [The Capital, Annapolis, Md.]

Erin Cox, The Capital, Annapolis, Md.
By Erin Cox, The Capital, Annapolis, Md.
McClatchy-Tribune Information Services

Dec. 17--A dispute that threatened to sever ties between a major insurance carrier and the area's most popular hospital has been resolved.

More than 5,700 patients had been warned they would be cut off from doctors at Anne Arundel Medical Center because of a contract dispute with Aetna.

AAMC and Aetna officials said the dispute, which focused on how much doctors employed by the hospital would be reimbursed, was resolved yesterday afternoon. A new four-year contract could be signed as early as next week.

It brings peace of mind to patients and doctors alike who worried an end to the relationship would have major repercussions.

Since November, Friendship resident Lori Rose has received four letters from medical providers warning her that come January, the hospital where she gave birth to her daughter 32 years ago would no longer accept her insurance. Her husband, a cardiac patient, would have to pay the full tab or go elsewhere.

"Here's one of the top hospitals in the country in our own backyard, and I can't use it?" Rose said.

In other cases, soon-to-be moms had switched plans. A cardiac patient feared what would happen if disaster struck and he could go to AAMC. One four-doctor Severna Park practice urged patients to lobby the insurance company or find a way to switch plans.

"Sadly, we will not be able to accept your insurance if you stay with Aetna," the doctors wrote on Facebook. "So, PLEASE, look into alternative health care plans."

Aetna insures more than 580,000 people in Maryland, including hundreds of state workers. The state government warned employees that the dispute could affect 257 physicians who have exclusive admitting privileges to AAMC, including 93 primary care physicians and 164 specialists.

Though Aetna informed their patients that the dispute meant AAMC could be off-limits for insurance coverage, an official said yesterday it's not the company's policy to let patients know the conflict has been resolved.

"We were about to reach the point that we were going to start rescheduling major surgeries at other facilities," Walt Cherniak, spokesman for Aetna, said.

"Aetna has a dual obligation to our beneficiaries," Cherniak said. "On the one hand, we work to provide them with access to a broad access to health care service, but on the other hand, it's our job to help control the rising cost of health care."

Dr. Mitchell Schwartz, chief medical officer for Anne Arundel Health System, said the hospital "reached out" to Aetna to renegotiate on behalf of doctors. He declined to explain how severing ties with Aetna would have impacted patients, had talks not been resolved this week.

"We're happy to have put this behind this, and I'm sure that Aetna is as well," he said.

But fallout from the dispute may linger.

At Special Beginnings Birth & Women's Center in Arnold, some expectant mothers already have made the switch.

"We have patients who are going away from Aetna. They don't want to have the risk having their hospital bill not paid," the center's director, Ann Sober, said. "That could be crippling for a young couple."

___

(c)2011 The Capital (Annapolis, Md.)

Visit The Capital (Annapolis, Md.) at www.hometownannapolis.com

Distributed by MCT Information Services

Wordcount:  532

Advisor News

  • I started using AI, but what now?
  • How to support an entrepreneur client with multiple businesses
  • Could a narrower focus help grow your practice?
  • U.S. debt hits $40 trillion: how to support concerned clients
  • Flourish brings private-bank-like cash solution to MassMutual’s network
More Advisor News

Annuity News

  • MassMutual Expands Lending Options With New Secured Credit Line
  • Corebridge Financial Introduces Progressive Trigger, a First-of-Its-Kind Index Annuity Strategy Designed to Turn Missed Years into Future Opportunity
  • Insurer proposes $1.1M deal to resolve CA teachers’ annuity fee lawsuit
  • IMOs get frustrated with slow carrier adoption of faster technology
  • New class-action lawsuit targets Delaware Life over annuity disclosures
More Annuity News

Health/Employee Benefits News

  • Legislators hear report on thin hospital margins, advance prior authorization reform
  • Hawthorne School Budget Faces New Pressure As Health Insurance Costs Jump Nearly 34%
  • Half the Coverage: What the TLC's Rideshare Insurance Cut Means for Queens Riders
  • Answering questions on Medicare open enrollment Terry Savage: Your questions answered on Medicare open enrollment
  • Make sure your Medicare coverage makes sense Jill On Money: Medicare on my mind
More Health/Employee Benefits News

Life Insurance News

  • Virginia orders Atlantic Coast Life to halt new business Nov. 1
  • AM Best Affirms Credit Ratings of China Taiping Insurance (Singapore) Pte. Ltd.
  • AM Best Upgrades Credit Ratings of Fidelity Life Association, A Legal Reserve Life Insurance Company; Affirms Credit Ratings of Industrial Alliance Insurance and Financial Services Inc. and Its Life/Health Subsidiaries
  • 777 Partners founder pleads guilty to $500 million fraud scheme
  • AM Best Affirms Credit Ratings of Luen Fung Hang Insurance Company Limited
Sponsor
More Life Insurance News

NEWS INSIDE

  • Companies
  • Earnings
  • Economic News
  • INN Magazine
  • Insurtech News
  • Newswires Feed
  • Regulation News
  • Washington Wire
  • Videos

FEATURED OFFERS

Press Releases

  • Benefits Studio Launches to Fill the Missing Middle of Benefits Navigation at $49/mo
  • Lauren Sinnott Named to Ragan’s Top Women in Marketing Awards, Class of 2026 
  • Classic Car Insurer OpenRoad Insurance Expands to 40 U.S. States in Two Years
More Press Releases > Add Your Press Release >

How to Write For InsuranceNewsNet

Find out how you can submit content for publishing on our website.
View Guidelines

Topics

  • Advisor News
  • Annuity Index
  • Annuity News
  • Companies
  • Earnings
  • Fiduciary
  • From the Field: Expert Insights
  • Health/Employee Benefits
  • Insurance & Financial Fraud
  • INN Magazine
  • Insiders Only
  • Life Insurance News
  • Newswires
  • Property and Casualty
  • Regulation News
  • Sponsored Articles
  • Washington Wire
  • Videos
  • ———
  • About
  • Meet our Editorial Staff
  • Advertise
  • Contact
  • Newsletters

Top Sections

  • AdvisorNews
  • Annuity News
  • Health/Employee Benefits News
  • InsuranceNewsNet Magazine
  • Life Insurance News
  • Property and Casualty News
  • Washington Wire

Our Company

  • About
  • Advertise
  • Contact
  • Meet our Editorial Staff
  • Magazine Subscription
  • Write for INN

Sign up for our FREE e-Newsletter!

Get breaking news, exclusive stories, and money- making insights straight into your inbox.

select Newsletter Options
Facebook Linkedin Twitter
© 2026 InsuranceNewsNet.com, Inc. All rights reserved.
  • Terms & Conditions
  • Privacy Policy
  • InsuranceNewsNet Magazine

Sign in with your Insider Pro Account

Not registered? Become an Insider Pro.