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Northern Light Health says contract negotiations have stalled with Anthem

Northern Light Health's headquarters are located in Brewer.
Linda Coan O'Kresik / BDN
Northern Light Health's headquarters are located in Brewer.

Northern Light Health said contract negotiations with Anthem have stalled over reimbursement rates.

Northern Light says that annual reimbursements from Anthem have increased less than one-and-a-half percent a year, while average inflation for health services is more than 7% a year.

System officials say Anthem’s unwillingness to keep pace with the costs of providing care directly contribute to the risks facing rural healthcare.

A spokesperson for Anthem said Northern Light's payment rates are in line with other health systems in Maine, but it's trying to raise rates by 30% over the next three years.

The current contract expires at the end of September, but Anthem said it will be extended through the end of the year if the two organizations are still negotiating.