LEXINGTON, Ky. — UK HealthCare has reached a new contract agreement with Cigna Healthcare, restoring in-network benefits for thousands of patients who had lost coverage under the insurer's plan, according to a university announcement.

The hospital and physician contract took effect April 27, with the provider enrollment process completed in June. Cigna members who receive care at UK HealthCare will now generally pay lower out-of-pocket costs as in-network patients, compared to the higher expenses they would face at out-of-network facilities.

The agreement represents a resolution to a contentious dispute that began in May 2025, when UK HealthCare and Cigna were unable to agree on contract terms. At that time, the hospital announced it would leave the Cigna network, leaving approximately 4,500 patients without in-network access to the region's major academic medical center.

According to UK HealthCare, the dispute centered on disagreement over a fair and sustainable fee schedule. The separation forced affected Cigna members to choose between paying substantially higher out-of-pocket costs or seeking care elsewhere during the 13-month gap when UK HealthCare facilities were considered out-of-network.

Cigna members with questions about their coverage at UK HealthCare can call the number on the back of their insurance card. The university operates the state's only National Cancer Institute-designated Comprehensive Cancer Center, a Level IV Neonatal Intensive Care Unit, and the region's only Level 1 trauma center, making in-network access particularly significant for patients requiring specialized care.