UAB Health System And United Healthcare Reach Agreement

BIRMINGHAM, AL — On the final day of their existing contract, the UAB Health System and United Healthcare have reached tentative agreement on a health insurance contract. The contract was set to expire July 31.

The contract means policy holders of United Healthcare may continue to see their UAB medical providers and use all UAB Medicine facilities without disruption of services. UAB and United have two weeks to finalize the tentative agreement. The new contract will be in effect for two years.

"We are pleased that we were able to reach an agreement with United Healthcare that will allow us to continue in our mission to provide the highest quality health care to their policy holders in Alabama," said UAB Health System CEO Will Ferniany, Ph.D., "As the flagship hospital for the state, we provide medical services that no other healthcare facility can provide and we are committed to offering our services to everyone in the state of Alabama."

After months of negotiations, the two entities were in danger of allowing the contract to expire, which would have meant dozens of healthcare providers would be unavailable to United customers.

United claimed that the UAB Health System is more expensive than other entities, which was one cause of the breakdown in negotiations.