Houston Methodist officially inked a multiyear contract with UnitedHealthcare that took effect June 1, according to the Houston Chronicle.
The contract means 100,000 UnitedHealthcare members will be able to access Houston Methodist services at in-network rates. The official agreement comes after the organizations struck an "agreement in principle" in late May.
The agreement comes seven months after UnitedHealthcare and Houston Methodist were unable to agree on reimbursement rates before a Dec. 31, 2019, contract deadline. The health system blamed the insurer for proposing rate cuts and prioritizing profits over patients, and the insurer argued Houston Methodist charges significantly more than other area providers, which leads to higher healthcare costs for its members.
Dave Milich, the CEO of UnitedHealthcare of Texas, said in a statement cited by the Houston Chronicle, "We recognize and appreciate that the care Houston Methodist provides is not only important but also personal to our members, and we know the negotiations process has been difficult for them."