April 1, 2026
Insurance

Why are contract disputes between providers and insurance increasing?


CENTRAL NEW YORK (WSYR-TV) — We’re continuing to follow recent contract disputes between health care providers and insurance companies. It seems to be happening more lately, but why?

Patients are being forced to pay out of network or find a new doctor. It’s an alarming trend popping up more and more just recently.


“I must’ve gotten 100 and some phone calls from the patients,” said Dr. Digant Nanavati, president of Onondaga County Medical Society.

This has left many people concerned, with more health care providers and insurance companies not being able to reach a contract agreement. But this isn’t new. However, an increase in costs is.

“Pre-COVID, the cost of a person working at the front desk used to be $12.50, now its $20.00 bucks,” said Dr. Nanavati.

That’s not all.

“The prior authorizations takes a lot of time, so you have to hire people to do these prior authorizations,” said Dr. Nanavati.

“Almost 20% or more of their time goes into documenting,” Dr. Nanavati explained.

The Onondaga County Medical Society says the value-based systems created by Medicare are also part of the disputes.

“Which requires sharing of the data, they have sometimes difficulty sharing the data on a regular basis, so that has actually changed the dynamics of practicing medicine,” said Dr. Nanavati.

Leaving it up to the provider and insurance company to figure it out.

“It’s important for both the groups, as well as the insurance companies, to sit down together, listen to each other and see if they can find a solution,” said Dr. Nanavati.

In hopes of providing health care that’s needed.



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