A multicare patients coverage notice is triggering concern across Washington state as MultiCare Health System negotiates with major insurers, warning patients that coverage could be disrupted if new agreements are not reached before looming deadlines.

The dispute centers on contracts between Tacoma-based MultiCare and insurers Premera Blue Cross and Regence, with patients now receiving letters cautioning that their access to in-network care may soon change—turning routine treatment plans into uncertain terrain.

Premera warns of possible network termination

Premera Blue Cross stated in an April 16 notice that MultiCare had issued a termination notice effective May 31, 2026. If finalized, the change would impact all commercial and individual exchange plans under Premera.

The insurer clarified that Medicare Supplement members would not be affected. MultiCare’s Overlake Medical Center in Bellevue is also excluded from the termination.

However, the broader impact could be significant, affecting patients across Washington who rely on MultiCare hospitals, clinics, and providers, including Yakima Memorial Hospital.

Regence negotiations add further pressure

MultiCare is also negotiating with Regence, with a separate contract covering members in Grays Harbor, Thurston, and Yakima counties.

If no agreement is reached by May 10, 2026, MultiCare facilities in Yakima Valley and Capital Medical Center would go out of network for Regence patients, according to the health system.

Both sides have been through similar standoffs before, including in 2024 when last-minute agreements prevented disruptions. A late 2025 shift by Regence in its individual-plan network added further complexity to ongoing negotiations.

Cost disputes at the center of negotiations

MultiCare says the core issue is reimbursement rates, arguing that payments from Premera have not kept pace with rising costs tied to inflation, staffing needs, and long-term service investments.

The system noted that Premera is one of its largest insurers, yet pays among the lowest rates for hospital and clinical services.

Premera counters that cost escalation is the central issue. Company executive David Condon said the goal is to address affordability pressures while working with providers to reduce overall healthcare spending.

He also pointed to statewide rate differences, arguing that uniform pricing fails to reflect economic disparities between regions such as Yakima, Spokane, and the Puget Sound area.

Patients caught in the middle of negotiations

Premera estimates that 163,000 members received care at MultiCare facilities last year, including more than 61,000 in Pierce County alone.

For many patients, the contract dispute is not abstract—it is immediate and personal.

Craig Barthuly of Tacoma, undergoing cancer treatment at Tacoma General, said he received a notice warning of potential coverage disruption tied to his federal employee insurance plan.

Still managing treatment for chronic lymphocytic leukemia, Barthuly said he spent hours trying to confirm whether his care would continue uninterrupted.

“It’s like they dumped this on me and a lot of others,” he said.

Continuity of care protections offered

Premera says patients facing ongoing treatment for serious conditions may qualify for up to 90 days of continuity of care coverage if contracts expire without agreement.

Additional notices are scheduled to be sent April 30 to all members who have used MultiCare providers, alerting them to possible network changes.

MultiCare says it remains focused on reaching fair terms that ensure continued care for patients while supporting frontline medical staff.

“At this time, we remain misaligned on financial terms,” the system said.