Northern Light warns patients about stalled talks with Anthem
Northern Light warns Maine patients about stalled talks with Anthem
If the contract expires, care for thousands of people would no longer be in-network
Updated: 4:30 PM EDT Jun 4, 2025
Northern Light Health, one of the largest healthcare systems in Maine, says talks for a new contract with insurance provider Anthem have stalled.The current contract is set to expire on Sept. 30, 2025, and Northern Light said Wednesday it has told Anthem the contract will expire unless Anthem agrees to a contract with adequate reimbursement. Northern Light says the contract is not keeping pace with the cost of patient care.If the contract does expire, all services within Northern Light would no longer be in-network for people with Anthem plans.“For years, Anthem has cited rising costs of care to justify increasing the premiums paid by their customers, while our reimbursements from Anthem have seen an average annual increase of less than 1.5%. The annual inflation rate for health services has averaged more than 7.5%. Anthem’s unwillingness to keep pace with the costs of providing care directly contributes to the risks facing rural healthcare,” said James Rohrbaugh, Executive Vice President and Chief Financial Officer for Northern Light. “Reimbursement for services is necessary to keep hospitals, practices, and services open and staffed.”Anthem is the largest commercial insurer in Maine. Northern Light says Anthem increased its profit margin in Maine by nearly 10% in 2024.
Northern Light Health, one of the largest healthcare systems in Maine, says talks for a new contract with insurance provider Anthem have stalled.
The current contract is set to expire on Sept. 30, 2025, and Northern Light said Wednesday it has told Anthem the contract will expire unless Anthem agrees to a contract with adequate reimbursement. Northern Light says the contract is not keeping pace with the cost of patient care.
If the contract does expire, all services within Northern Light would no longer be in-network for people with Anthem plans.
“For years, Anthem has cited rising costs of care to justify increasing the premiums paid by their customers, while our reimbursements from Anthem have seen an average annual increase of less than 1.5%. The annual inflation rate for health services has averaged more than 7.5%. Anthem’s unwillingness to keep pace with the costs of providing care directly contributes to the risks facing rural healthcare,” said James Rohrbaugh, Executive Vice President and Chief Financial Officer for Northern Light. “Reimbursement for services is necessary to keep hospitals, practices, and services open and staffed.”
Anthem is the largest commercial insurer in Maine. Northern Light says Anthem increased its profit margin in Maine by nearly 10% in 2024.
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