UT Southwestern Is Opting Out of Obamacare

UT Southwestern's spokesman hasn't yet replied to questions about the decision. "It's not uncommon for hospitals to not participate in the Affordable Care Act because they're not satisfied with the contract provisions that are being offered by insurers in their area," says Dr. Gerald F. Kominski, a health policy professor at UCLA. He says hospitals often opt out of the Affordable Care Act not to make a political statement but only as a practical matter. "What it [the Affordable Care Act] has done is create a more competitive market place."

What that means for health care providers is that insurance policies purchased through the Affordable Care Act's exchanges pay much less for services than private or employer-sponsored insurance. 

There are few surveys or lists available to document all the hospitals that have decided not to contract with insurers under Obamacare. The Associated Press conducted a survey last year and found that many of the nation's elite cancer hospitals are "off-limits" to people under Affordable Care Act coverage, including the MD Anderson Cancer Center in Houston. But even then, "off-limits" wasn't completely off-limits. MD Anderson Cancer Center was reportedly available on "less than half" of the plans offered under the insurance exchange. All in all, only four cancer hospitals in the entire nation gave patients access to all the insurance providers offered in the state exchange.