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New Parents Denied Coverage by United Healthcare, Then Sent Shocking Letter

New Parents Denied Coverage by United Healthcare, Then Sent Shocking Letter

Summary

A couple received a letter from United Healthcare saying the insurance would not pay for the last two days of their twins’ stay in the Neonatal Intensive Care Unit (NICU). The letter was addressed to one of the newborn babies and said the hospital would cover the costs. United Healthcare later apologized and agreed to pay the bills.

Key Facts

  • United Healthcare initially denied coverage for the final two days of twin babies’ NICU stay.
  • The denial was because one baby was considered eligible for discharge earlier than the other.
  • The hospital was told to cover those last two days instead of the insurance company.
  • The letter was addressed to the baby, not the parents, and did not include the baby’s name.
  • United Healthcare apologized and said the parents were not responsible for the costs.
  • The insurer decided to pay the NICU stay costs voluntarily.
  • Treatment in a Level IV NICU can average nearly $118,000 for a stay of 18-24 months, with some out-of-pocket costs for families.
  • Many insurance denials for NICU care can be appealed and are often caused by simple administrative errors.
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