University of Akron and Akron General feuding over health insurance

Oct. 27--Akron General Health System and the University of Akron are feuding over health insurance.

Both entities -- two of the largest employers in Summit County -- are blaming each other for why the health system will no longer be an in-network provider for UA workers next year.

The bottom line is that school employees and their families will have to pay higher out-of-network costs to be treated at Akron General facilities and by many affiliated doctors if a compromise isn't worked out.

The dispute revolves around Akron General's contract with Apex Health Solutions, SummaCare's program for self-insured companies that's controlled by Akron General rival Summa Health System.

That contract expires at the end of the year. Meanwhile, the Apex contract with UA expires at the end of next year.

Akron General Health System President and Chief Executive Officer Dr. Thomas "Tim" Stover wrote a strongly worded letter last week to about 1,800 UA employees who have used his system, saying that Akron General is being cut out as an in-network provider next year.

He said that UA "has known that this was going to happen and they could have worked with Akron General to include us in future offerings; but, they have chosen not to do so."

UA has a different version of the story.

Chief Financial Officer Nathan Mortimer told employees in an email that the university asked Akron General and Apex to work out a deal but Akron General decided not to continue as an in-network provider next year.

"Akron General had demanded that UA alter or cancel our contract with Apex this year to either replace Apex or bring in another company of its choosing whose network would include Akron General," he wrote Monday. "Such an action so late in the year would cause unnecessary confusion and uncertainty for everyone, especially UA employees."

Muddying the issue further is the fact that UA President Scott Scarborough's wife, Tammy, works as a vice president ambulatory services and Summa Physicians Inc. at Summa Health System and critics are seizing on that link as a potential issue in the dispute.

But UA spokesman Wayne Hill said that relationship isn't a factor "whatsoever" and Scott Scarborough, who previously served on the Akron General board, has recused himself from the health insurance discussions.

Mortimer is handling the health insurance issue, he said.

The university plans to seek bids next year from health insurance providers, the school said.

Akron General spokeswoman Stephanie York said it's not in Akron General's best interest to remain with Apex. She added that the health system is hopeful a resolution can be reached.

"We care about patients and the University of Akron families and employee-members who are patients," she said.

Meanwhile, Summa spokesman Mike Bernstein declined to comment on the Akron General-UA relationship.

But he said that conversations are under way to keep Akron General, which is being acquired by the Cleveland Clinic, as an in-network provider for UA workers.

"That decision is up to Akron General," he said.

He added that the deal with UA is the only network that now includes Akron General but Apex is open to expanding that relationship.

Rick Armon can be reached at 330-996-3569 or [email protected]. Follow him on Twitter at @armonrickABJ.

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