New York City-based Mount Sinai released a 34-minute podcast on March 13, detailing the health system’s contracting dispute with Anthem.
“At Thanksgiving, [Anthem] inexplicably just said, ‘We are not doing anything we agreed to, and we’re not talking to you anymore,'” Alan Adler, MD, associate professor of OBGYN and senior medical director of physician contracting and billing, said during the hospital’s recent episode of The Vitals.
Anthem and New York City-based Mount Sinai have been completely out of network as of March 4, following a brief contract extension for facilities, both organizations confirmed.
Negotiations began in spring 2025. The contract expired Dec. 31, 2025, resulting in 9,000 physicians exiting the Anthem market, but all Mount Sinai facilities were originally set to go out of network March 1. Medicare Advantage members lost both providers and hospitals at the start of the year.
“I’m not even involved in this process, and I’m very upset,” said Leslie Schlachter, PA-C, neurosurgery physician assistant and podcast host. She expressed concerns over a patient who was struggling to get approved for continuity of care.
The health system said the insurer currently owes more than $450 million for care already provided to members.
Physicians remain in network for New York state and hotel trades employees, according to Mount Sinai’s website. Service Employees International Union, Local 32BJ, a property services union, will continue to have access to both facilities and providers.
Anthem and Mount Sinai both said they were recently working toward economic alignment following discord in 2025.
“We reached agreement on reasonable payment increases and all other negotiating terms and had a contract ready to sign,” an Anthem statement shared with Becker’s March 4 said. “At the last minute, Mount Sinai refused to move forward unless we agreed to eliminate basic consumer protections that help make sure care is appropriate and patients are not overcharged.”
However, a Mount Sinai spokesperson characterized these provisions as “designed to protect patients from excessive denials, delayed determinations and prolonged administrative disputes.”
“Mount Sinai cannot accept terms that undermine patient care or destabilize our system,” the spokesperson said.
Mount Sinai is also now out of network with Molina Healthcare’s Medicaid plan, as well as their affordable plans for those who do not qualify for Medicaid, as of the beginning of 2026, according to both the insurer and health system.
This story was last updated March 17.
