32BJ SEIU, a labor union in New York, has removed NewYork-Presbyterian from its network, citing high healthcare costs, according to Politico.
The union, which provides benefits to 190,000 members and families, moved to drop New York City-based NewYork-Presbyterian from its network because the fund said it paid, on average, 358 percent more than Medicare for services at the system. The change is effective Jan. 1, 2022.
32BJ SEIU uses Empire BlueCross BlueShield as its third-party administrator, which negotiates contracts with health systems and pays out claims on behalf of the union.
Sara Rothstein, director of the 32BJ Health Fund, told Politico after analyzing claims data, the fund found that NewYork-Presbyterian was charging more than other city hospitals for the same services. For example, NewYork-Presbyterian charged $8,991 for an outpatient colonoscopy while most hospitals charge $3,638, according to the union.
NewYork-Presbyterian declined Politico's request for an interview but said in a statement that it would be "unfortunate for its members and their families who would lose access to the exceptional care from our hospitals and clinicians," according to the report.