Mobile Hospital Warns of Imminent Break With Major Insurer
Providence Hospital and UnitedHealthcare contract dispute may cause patients to lose in-network access
The University of South Alabama Health System has issued a warning: patients insured through UnitedHealthcare may soon lose in-network access to Providence Hospital, as contract talks near a breaking point.
According to USA Health, the contract between UnitedHealthcare and Providence Hospital will end on Nov. 14, 2025. After that date, UnitedHealthcare members will no longer have in-network coverage when seeking care at Providence.
USA Health emphasizes that the warning does not apply to USA Health University Hospital and USA Health Children’s & Women’s Hospital.
If the contract expires, patients with UnitedHealth insurance who require hospital care at Providence may be treated as out-of-network, meaning higher out-of-pocket costs. In-network status helps keep costs lower and maintain access through insurance benefits.
USA Health’s website states: “The health insurance contracts between UnitedHealthcare and USA Health Providence Hospital will end on Nov. 14, 2025. After that date, UnitedHealthcare policyholders will no longer have in-network coverage at Providence Hospital.”
This contract is separate from the one covering University Hospital and other parts of USA Health; those remain unaffected—for now.
Providence Hospital in west Mobile originally was a Catholic institution that later was part of the Ascension healthcare network. USA Health took over Providence in October 2023.
This kind of dispute echoes earlier standoffs between UnitedHealthcare and other Alabama health systems. In June 2025, UAB Health System warned that many UnitedHealthcare patients could lose in-network access if no agreement was reached.
In that case, UAB and UnitedHealthcare reached a last-minute agreement just before their contract expired.
It should be noted that hospitals sometimes release warnings like this as leverage in negotiations with insurers.
