Friday, February 21, 2025, 8:08PM |  27°
MENU
Advertisement
2
MORE

Highmark undecided on whether to oppose UPMC expansion

Post-Gazette

Highmark undecided on whether to oppose UPMC expansion

Highmark Health has not decided whether to oppose rival UPMC’s planned expansion into central Pennsylvania, but employers and businesses in that part of the state expect the insurer to “stand up for their rights,” president and CEO David Holmberg said in a briefing Friday.

Highmark and Harrisburg-based Capital BlueCross dominate the central Pennsylvania health insurance market with a 75 percent share, brokers say, and Highmark has had a long relationship with PinnacleHealth System, a three-hospital network based in Harrisburg. UPMC on Tuesday announced that it would affiliate with Pinnacle, which announced plans of its own the same day to acquire four other hospitals in the region from a for-profit hospital chain.

If consummated, the deal would be UPMC’s biggest network expansion. The system operates about 25 hospitals. The central Pennsylvania deal would give UPMC control over seven more hospitals, which will likely require state and federal regulatory approval.

Advertisement

“The future of health care may be decided in central Pennsylvania as it was in Western Pennsylvania,” Mr. Holmberg said. “We have a very long history in central Pennsylvania, very strong relationships in the region with providers and employers. They will expect us to stand up for their rights.”

Highmark Health sees return to profitability
Steve Twedt
Highmark Health sees return to profitability

Those rights include continued access to quality health services, he said.

In a prepared statement, state Attorney General spokesman Joe Grace said the office was aware of the pending affiliation and Attorney General Josh Shapiro was “concerned about the effect on consumers in the region and ensuring access to affordable and quality health care.”

“We will scrutinize this transaction closely with that in mind,” he wrote.

Advertisement

Western Pennsylvania consumers used to enjoy fairly unfettered access to both Allegheny Health Network and UPMC doctors and hospitals, but relations between the two health care giants curdled in 2013 with Highmark’s acquisition of AHN. The split, which becomes complete in 2019 with expiration of a consent decree, means that higher, out-of-network charges will keep most Highmark members out of the UPMC system. UPMC Health Plan members also pay out of network costs for using AHN doctors and hospitals.

It’s too early to tell whether the market dynamic will be repeated in central Pennsylvania.

Kris B. Mamula kmamula@post-gazette.com or 412-263-1699

First Published: March 18, 2017, 8:19 a.m.

RELATED
SHOW COMMENTS (0)  
Join the Conversation
Commenting policy | How to Report Abuse
If you would like your comment to be considered for a published letter to the editor, please send it to letters@post-gazette.com. Letters must be under 250 words and may be edited for length and clarity.
Partners
Advertisement
Two slices of New York-style pizza and one cut of Sicilian at Etna Slice House in Etna.
1
life
Etna Slice House is 'closed until further notice' following pizzaiolo's departure
Mayor Ed Gainey during  a press conference at the Downtown Public Safety Center on Thursday. He angrily criticized what he believes negative media coverage of his work as mayor.
2
opinion
Brandon McGinley: ‘The wheels are coming off’ the Gainey administration
The Breezewood Interchange is dotted with gas stations, chain restaurants and souvenir shops. The Pennsylvania Turnpike Commission has selected Chicago-based Alfred Benesch and Company to spearhead a major redesign of the notorious roadway.
3
business
So long, Breezewood: Chicago firm selected to redesign infamous Pa. Turnpike interchange
Longtime KDKA-TV host Jon Burnett on May 22, 2019.
4
a&e
Jon Burnett, long a KDKA-TV staple, leaves legacy of ‘putting good out into the world’
Cars drive through snow on Washington Road in Bethel Park Sunday, Feb. 16, 2025.
5
news
Pittsburgh will climb out of an Arctic cold snap and into above-average temperatures soon. Will it last?
 (Post-Gazette)
Highmark CEO David Holmberg  (Michael Henninger/Post-Gazette)
Post-Gazette
Advertisement
LATEST business
Advertisement
TOP
Email a Story