In mid-Missouri, the fallout from failed contract negotiations between MU Health Care and Anthem Blue Cross Blue Shield is leaving over 90,000 patients scrambling for care. Since April 1, 2025, Anthem has been officially deemed out of network at all MU Health Care clinics and hospitals, impacting residents not just in Columbia but across Missouri’s 114 counties. This disruption is driving up healthcare costs and complicating patient access to necessary services.
As the negotiations collapsed, many patients with ongoing medical conditions or scheduled services are now applying for continuity of care, which allows them to continue seeing their current providers temporarily. According to an Anthem spokesperson, this plan extends in-network coverage for patients receiving treatment for serious and complex conditions, including urgent surgeries and ongoing treatments for terminal illnesses, until their treatment is complete or for a limited time.
Boonville resident Rob McCabe, an MU patient, is among those affected. He sought continuity of care after the negotiations failed, as he requires ongoing treatment for mental and behavioral health needs, as well as a skin condition. "This whole thing has left a lot of people in the lurch, as far as healthcare," McCabe said. However, his application for extended in-network coverage was canceled, adding to his stress. "You establish a relationship with your healthcare providers. There is all of that history, and you would basically be starting from scratch with someone else," he lamented.
Although McCabe's wife received continuity of care for her chronic medical issues, he noted that it is only valid for 90 days. MU Health Care has established a Continuity of Care Hub to assist patients during this challenging transition, but many are still waiting for Anthem to process their applications. An MU Health Care spokesperson expressed frustration, stating, "Despite our efforts, Anthem has yet to produce a full list of patients who qualify, and many patients who have submitted applications for continuity of care are still waiting on Anthem to process and approve." This uncertainty is leaving many patients in active treatment in a precarious position.
Efforts to resolve the situation have been stymied, with both MU Health Care and Anthem indicating a willingness to negotiate but failing to reach an agreement. An Anthem spokesperson stated that they have repeatedly offered to schedule meetings with MU Health Care, but those offers have often gone unanswered. "Anthem recently extended a proposal to MU Health Care to continue continuity of care for our most vulnerable members through December 31, 2025. MU Health Care declined that offer," the spokesperson reported.
Tim Ryan, president of the Ozarks Schools Benefits Association (OSBA), which represents over 120 school districts across Missouri, explained that the failed negotiations could have broader implications for healthcare costs throughout the state. "Ultimately, all of those medical bills that are paid out come from a self-funded plan. Even though my district doesn't necessarily use that system, overall we share the same funds in our healthcare plan," Ryan said. He anticipates that the negotiations will lead to higher rates in the future, affecting all member districts.
Ryan added that while some Anthem members receiving intensive or ongoing treatment may still qualify for in-network rates at MU Health Care through a continuity-of-care plan, the overall financial burden will likely increase. "Ultimately, it's going to cost our association more for any individual that receives healthcare through the MU Health Care system," he noted.
In addition to the local impact, the failed negotiations are causing ripples beyond Columbia. MU Health Care serves patients from counties more than 100 miles away, and the disruption is affecting care costs for employees across the state. Anthem has contracts with other providers in mid-Missouri, including SSM Health St. Mary's Hospital-Jefferson City and Boone Health, but the lack of agreement with MU Health Care is still a significant concern.
MU Health Care spokesperson Eric Maze stated that the health system does not expect to reach an agreement with Anthem anytime soon. "We are not optimistic that we will reach an agreement with Anthem in the foreseeable future," Maze said. He pointed out that the most recent proposal from Anthem does not adequately address the rising expenses that MU Health Care and other health systems are facing.
Maze highlighted a disconnect between what employers pay in premiums and what providers receive, citing the Missouri Department of Commerce and Insurance's 2023 Health Insurance Market Report. The report indicated that Anthem and its peers have raised annual premiums to employer groups by as much as 37 percent over the last decade without passing those increases on to healthcare providers.
Despite the challenges, MU Health Care maintains contract agreements with other major insurers, including UnitedHealthcare, and continues to serve patients in-network with most major insurers. "We understand that this is an incredibly difficult time for many of our patients with Anthem insurance, and our goal remains to come to an agreement," Maze said.
As the situation evolves, many patients like Rob McCabe are left hoping for a resolution that will restore their access to necessary healthcare services. "At this point, the general public doesn't really care who the good guys are and who the bad guys are. They just want a solution," he said, capturing the sentiment of many affected by this healthcare crisis.