Anthem BCBS, Memorial Sloan Kettering reach deal to secure coverage for cancer patients


Anthem BCBS, Memorial Sloan Kettering reach deal to secure coverage for cancer patients

The Environmental Protection Agency banned two chemicals from solvents known to cause cancer in dry cleaning as well as arts and crafts products.

Anthem Blue Cross Blue Shield and Memorial Sloan Kettering Cancer Center have reached a deal that keeps the premiere cancer treatment system in network, which helps patients maximize coverage.

The insurer and provider faced an end-of-year deadline to settle on reimbursement rates for 2025 and beyond. If a deal hadn't been reached, people with Anthem coverage could have faced costly out-of-network fees for care at MSK as of March 1, 2025.

For an overwhelming number of patients, out-of-network coverage would be prohibitive, effectively cutting them off from access to MSK care.

The deal will ensure about 22,000 active patients can continue uninterrupted treatment and care at MSK," said MSK President and CEO Dr. Selwyn Vickers.

Anthem BCBS operates in 13 states, including New York.

MSK, based in Manhattan, provides cancer care throughout the region, with standalone centers in West Harrison, Westchester County, on Long Island and in New Jersey, and is considered a world leader in treatment.

'It's a matter of life and death'

MSK patients like Carrie Regan, who was diagnosed with ovarian cancer last year, was among those watching closely.

"When you live in the Hudson Valley, when you live in New York, if you have cancer, you go to Sloan Kettering," said Carrie Regan, a Pine Bush resident who was diagnosed with ovarian cancer last year. "That's what you do."

At 40 years old, Regan had to have a complete hysterectomy after the tumor that had been removed from her right ovary was identified as malignant.

For Regan, the situation had been beyond stressful. The Middletown middle-school teacher said that during the standoff between her health insurer and her health provider that she was left consumed by questions: What if she can't keep her treatment team? What if she faces another cancer diagnosis?

"This could be the hill that I die on, literally and figuratively," Regan said. "It's a matter of life and death."

What's the deal?

The agreement sets forth a multi-year fee schedule between the insurer and health system.

Anthem will have continued in-network access to care at MSK hospital, outpatient care centers and physician offices across New York and the surrounding area.

Anthem's employer-based, Medicaid and Essential Plan health plan members were facing a change in status, which was headed off by Monday's deal.

Details of the settlement were not provided, citing confidentiality agreements.

During negotiations, Anthem had said that MSK had requested rate increases over the next three years that would have sent prices "skyrocketing." Anthem had compared the rates at MSK to other national cancer Centers of Excellence around the U.S.

MSK had maintained reimbursement rates by Anthem should be compared to other NYC facilities.

Dr. Jeffrey Drebin, chair of surgery at Memorial Sloan Kettering Cancer Center, also maintained the hospital system's quality of care actually saves money. According to Drebin: MSK boasts 25% fewer inpatient admissions and 76% fewer outpatient encounters per patient over the course of their treatment compared to other providers.

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