Highmark Sues UPMC for 'Malicious' Campaign

Pittsburgh-based Highmark Inc., a non-profit health insurer, has accused UPMC Health System of launching a malicious and misleading advertising campaign with "targeted attacks on insured and self-insured customers of Highmark."

In a complaint filed with the U.S. district court in Pittsburgh, Highmark asks for the removal of the "Keep Your Doctor. Check Your Plan" campaign. On July 13, Highmark filed a breach of contract lawsuit against the 20-hospital health enterprise.

The Keep Your Doctor campaign, which started in April 2011 and consists of:

• A website
• Full page ads in the Pittsburgh Post-Gazette, Pittsburgh Tribune-Review, and other newspapers
• Radio ads
• Directives issued to UPMC-affiliated medical staff and Highmark plan members

Highmark claims that UPMC deliberately launched the campaign to smear its reputation and encourage plan members to enroll with UPMC or other insurance providers.

The "Keep Your Doctor" campaign violates the Lanham Act and non-solicitation clauses according to a statement from Highmark. On July 2, 2011 a radio spot advertisement from UPMC told listeners:

"[In] order to keep seeing your current UPMC doctor, ask your employer to include one of the five health insurers that provide access to UPMC during open enrollment."

The materials in the campaign are false because they state that "there is no current relationship between Highmark and UPMC and/or the end of the relationship is imminent," Highmark says in a court document.

While contracts between Highmark and UPMC expired on June 30, 2011, UPMC falsely implies that Highmark members will face high rates, Highmark says in its complaint. UPMC representatives have responded saying Highmark's claims will not hold up in court. 

"Change is difficult but this is change for the better," UPMC spokesman Paul Wood told the Pittsburgh-Tribune Review. "There will be true competition in the health insurance market, and this will benefit employers and it will benefit their employees."

"As for Highmark's interpretation of contractual provisions governing the run-out period, UPMC strongly disagrees and looks forward to presenting the court and the public with the actual contract language," Wood added.