Negotiations between Mount Sinai Health System and Anthem Blue Cross Blue Shield failed, resulting in thousands of patients in New York losing in-network care.

The two parties temporarily extended the deadline Monday for a new contract, but failed to come to an agreement Tuesday night.

About 9,000 Mount Sinai physicians became out of network to about 200,000 Anthem patients when they couldn't reach an agreement on Dec. 31, but state law mandated no change for patients before March 1.

Mount Sinai said they did finalize a direct contract with the union 32BJ, so those union members will still be able to get in-network care.

Mount Sinai partnership with 32BJ

Officials said the agreement gives the more than 100,000 building service workers covered by the union continued access to the Mount Sinai network of physicians, services and facilities.

"When hospitals and insurance companies can't come to agreement, hardworking people lose," said Cora Opsahl, the health fund director for 32BJ. "We are pleased that we were able to go directly to Mount Sinai to successfully negotiate for ongoing access for our members to high-quality affordable care through the Mount Sinai Hospital System."

Mount Sinai wants price hike, Anthem says

Anthem officials said in a statement that the sides reached an agreement and a contract was ready to go. 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," according to the statement.

"We cannot agree to changes that would drastically increase costs for New Yorkers. We remain willing to reach a responsible agreement and will continue to work with Mount Sinai to return them to our network. In the meantime, our network includes every other major health system in New York City, and we are focused on helping our members get the care they need during this transition," Anthem officials wrote.

They previously claimed Mount Sinai executives were demanding price increases of more than 50% over the next three years.

$450 million owed to Mount Sinai

Mount Sinai staff also released a statement in response to the termination.

"Over the past several months, Mount Sinai engaged in repeated, good-faith efforts to reach a responsible agreement that would restore in-network access to our patients. Over the last month, we made meaningful progress. After narrowing economic differences, Anthem refused to commit to contract provisions 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," officials said.

Executives previously said Anthem owes Mount Sinai more than $450 million for care already provided to its members.

"There have been a number of times during this negotiation that we felt like we had either formal agreement on key issues or agreements in principle, only to have those walked back by executives at Anthem," said Brent Estes, senior vice president and chief managed care officer with Mount Sinai Health System.

Estes said Anthem's claims about Mount Sinai wanting to eliminate basic consumer protections are "completely false."

"What we asked for is, instead of not being paid anything for care that we provided, when they need to review it, that they need to pay at least something as an interim payment while they conduct their reviews," he said.

Estes said Mount Sinai is willing to return to the table.

"Patients first, not money"

Queens resident Massiel Lugo's doctors are now out of network. She took to TikTok in February to express her frustrations over losing insurance coverage at Mount Sinai.

"When you have lupus, our number one enemy is stress," she said.

Lugo said she is a single mom who works three jobs and needs to be healthy for her kids.

"It was very unfortunate because I'm on a medication. I was going from monthly injections to now weekly injections, so I needed to speak to my rheumatologist more often," she said, "and I was on a wait list to see another rheumatologist. That was a no-go."

"I feel like health care should be a universal right for everybody, and it shouldn't be something that's just constantly a money grab, is what it feels like," said Upper West Side resident Susan Kim, who is also scrambling for care.

"I just wish they'd put their patients first, and not money," Lugo said.

As Mount Sinai Health System and Anthem Blue Cross Blue Shield negotiate a new contract, the parties agreed to temporarily extend their deadline before tens of thousands of patients in New York lose access to in-network care.

About 9,000 Mount Sinai physicians became out-of-network to roughly 200,000 Anthem patients when the sides failed to reach an agreement on Dec. 31, but state law mandated no changes for patients before March 1.

Where negotiations stand

Mount Sinai and Anthem on Monday announced a brief extension of in-network benefits through separate statements on their websites.

"We have agreed to temporary terms that will extend in-network access for Mount Sinai hospitals and facilities through Tuesday, March 3, only," Mount Sinai said.

According to Anthem, the agreement will "prevent patient care disruption and allow time to continue negotiations." Anthem previously said patients with ongoing or serious treatment could be eligible for continuity of care through March 31.

Anthem has claimed Mount Sinai executives are demanding price increases of more than 50% over the next three years, which Mount Sinai disputes.

Mount Sinai has said Anthem owes it more than $450 million for care already provided to its members.

Man fears he'll lose doctor of 15 years

John Esposito, of Huntington, said he was waiting anxiously for a deal by Sunday's deadline because he's at risk of losing his primary care physician for the last 15 years.

"I consider him my partner in keeping me healthy and I would very much like to not have to disrupt that relationship," he said. "There's a lot of stress on individuals these days and this is stress that is, in this particular case, avoidable with a positive potential conclusion."

Esposito said he's been feeling "hopeful, but anxious," since he started getting letters from Anthem and Mount Sinai last year.

"As time went on and we saw that there was no progress being made, started to get concerned because the idea of being turned into a health care refugee looking for a whole new set of doctors to take care was a daunting thought process, and now it seems to be happening," he said.

Esposito said he hopes a new deal is made soon because he does not qualify for continuity of care.

As contract negotiations between Mount Sinai Health System and Anthem Blue Cross Blue Shield remain unresolved, Mount Sinai today released a new episode of its podcast The Vitals titled “When Coverage Breaks Down: The Hidden Costs of Insurance Disputes.” The episode explains why disputes between insurers and health systems occur and provides practical guidance for patients navigating sudden changes in insurance network coverage.

Mount Sinai hospitals, facilities, and physicians are currently out of network with Anthem after the insurer stepped away from finalizing an agreement that was within reach.

“Over the past several months, Mount Sinai made repeated good-faith efforts to reach a responsible agreement that would restore in-network access for our patients,” said Brent Estes, Senior Vice President and Chief Managed Care Officer of the Mount Sinai Health System. “Anthem’s refusal to finalize enforceable contract provisions designed to protect patients from excessive denials, delayed determinations, and prolonged administrative disputes remains an issue.”

The podcast episode helps patients understand how insurance negotiations affect access to care and continuity with trusted physicians.

Addressing Misleading Claims

Mount Sinai sets the record straight, addressing several public claims made by Anthem:

Mount Sinai emphasized that the dispute is about fair dealing, patient protections, and sustainable care delivery, not simply reimbursement rates.

A Resource for Patients

The Vitals episode explains how insurance negotiations unfold and offers practical steps patients can take if their hospital or physician becomes out of network.

Topics include:

“Mount Sinai remains prepared to negotiate with Anthem to restore access for the communities we serve,” said Estes. “But negotiations require both parties to commit to enforceable terms that protect patients and support sustainable care delivery.”

Listen to the Episode

The full episode of The Vitals, “When Coverage Breaks Down: The Hidden Costs of Insurance Disputes,” is available wherever podcasts are streamed or at Mount Sinai Negotiations with Anthem | Keep Mount Sinai.

For the fourth consecutive year, The Mount Sinai Hospital is ranked the top hospital in New York City and State on Newsweek/Statista’s list for 2026. The Mount Sinai Hospital remained No. 7 in the United States and was ranked No. 22 in the world on the same list.

Hospitals within the Mount Sinai Hospital Health System continue to make gains on the global and local stage. Mount Sinai Morningside and Mount Sinai West are ranked No. 6 in New York City and No. 8 statewide on the same list, which recognizes and ranks the 600 leading hospitals across the nation as well as the top hospitals from 30 countries.

“These honors are a testament to the expertise and exceptional contributions of the faculty and staff of these hospitals. Our systemwide collaboration is what makes us great,” says Brendan G. Carr, MD, MA, MS, Chief Executive Officer, Mount Sinai Health System. “From treating the world’s most complex health problems to spearheading cutting-edge research, to caring for every patient, family, or community that turns to us, our guiding light is our call to serve those who trust us with their lives.”

“Congratulations to everyone involved with this tremendous accomplishment,” says Eric J. Nestler, MD, PhD, Anne and Joel Ehrenkranz Dean of the Icahn School of Medicine at Mount Sinai and Executive Vice President and Chief Scientific Officer, Mount Sinai Health System. “This honor is a testament to the life-changing work that happens here every day thanks to our world-leading faculty and staff, and a student and trainee program that will no doubt pave the way for a lasting impact on health care both locally and worldwide.”

“New York houses some of the world’s most venerated and influential health systems in the world. For The Mount Sinai Hospital to take top honors statewide for the fourth consecutive year and to have three hospitals in our Health System ranked so highly is a fantastic achievement and a tribute to your collective spirit. The standard you deliver daily has once more received nationwide and worldwide recognition and the kind of acclaim that inspires trust from our patients and community,” says David L. Reich, MD, President of The Mount Sinai Hospital and Mount Sinai Queens and Chief Clinical Officer, Mount Sinai Health System.

“It is an extraordinary honor to lead the dedicated teams at Mount Sinai Morningside and Mount Sinai West, whose commitment to excellence and compassion defines everything we do,” said Tracy L. Breen, MD, President of Mount Sinai Morningside and Mount Sinai West. “Every day, our physicians, nurses, and staff rise to the challenge of delivering outstanding care and setting the standard for clinical excellence. We are privileged to care for our communities and remain deeply committed to advancing the quality, innovation, and humanity that our patients deserve.”