When health insurers underpay, everyone pays

As a physician and medical director of UConn Medical Group at UConn Health, I see first-hand what it takes to care for patients across every stage of life. Our clinicians treat life-threatening illnesses, manage complex chronic conditions, and respond to urgent crises -- often all in the same day. We also train future doctors, conduct research that drives innovation, and serve as a safety net for communities across Connecticut.

Connecticut can be proud that we have a public academic health center that not only provides amazing patient care but does so at a nationally ranked level of quality, safety and patient experience. For example, in the last year we have been ranked within the top 15% of hospitals nationwide for patient experience, have been named to Newsweek World's Best Hospital, have received our ninth consecutive A rating for patient safety and have been named the best health care employer in the state by Forbes.

Yet despite this exceptional care and our vital role for the citizens of Connecticut, commercial insurers reimburse UConn Health at some of the lowest rates in the state. That imbalance doesn't just strain our hospital financially, it affects access to this world class care for the people of Connecticut.

Recruiting and retaining a skilled clinical workforce has never been more competitive. Meanwhile, the demands of modern medicine have required major investments in advanced surgical technologies, cybersecurity infrastructure, and specialty pharmacy services that support patients with complex needs. The care patients require today, especially those with multiple or chronic conditions, is more intensive and expensive than ever.

Every hospital in Connecticut is feeling these cost pressures but a national study by the RAND Corporation confirms what we've experienced firsthand: Commercial insurers are reimbursing UConn Health well below the rates paid to comparable hospitals in Connecticut. In addition to being paid less, UConn Health as a public health system has a broader mandate than most other health systems in the state. We provide care for all who walk through our doors regardless of insurance and we invest in education to boost the Connecticut workforce and research to advance patient care. For example, one in four doctors and 65% of dentists in Connecticut trained at UConn Health.

That's why fair reimbursement matters. We are not asking for exorbitant payments because as a public health system that treats a disproportionate number of underinsured patients, such as Medicaid patients seeking specialty care, we understand the need to keep health care costs reasonable. We are simply requesting that a public academic medical center should be paid fairly and sustainably for the care we provide. When commercial insurers don't pay their share, it's not just UConn Health that makes up the difference, it's Connecticut taxpayers. In a year when lawmakers are weighing every budget priority, from education to infrastructure, it's worth asking: should commercial insurers be allowed to shift their financial obligations onto public institutions and the taxpayers who fund them?

Insurers, on the other hand, continue to report strong financial results. Premiums are rising. Networks are narrowing. Patients are left with fewer options, more out-of-pocket costs, and a system that feels harder to navigate every year. It's difficult to reconcile that reality with the reimbursement shortfalls facing providers on the front lines.

We believe Connecticut's health care system works best when insurers, providers, and policymakers share responsibility and act in good faith. And that starts with reimbursement rates that reflect the real cost and value of care. No system can thrive when one party is expected to absorb structural losses year after year simply because it serves a public mission. We need a more sustainable approach, one that ensures institutions such as UConn Health can continue to meet their commitments to patients and communities alike.

We remain hopeful that our partners will come to the table with a spirit of collaboration and fairness. But regardless of the outcome, we will continue to do what we are called to do: provide high-quality, compassionate care for the people of Connecticut. As a physician, I believe we can -- and must-- build a system where reimbursement reflects clinical reality. Because that's how we protect access by investing in innovation and delivering the care that every patient deserves.

Dr. Denis Lafreniere is the chief of the Division of Otolaryngology-Head & Neck Surgery and medical director of UConn Medical Group at UConn Health.