NYU employees’ health insurance will be provided by Aetna instead of  UnitedHealthcare starting Jan. 1, in an effort to reduce costs and better align health care plans with NYU Langone Health services. Coverage for gender-affirming care will not be affected.

During September faculty council meetings, Senior Associate Vice President for Global Benefits and HR Communications Trish Holland said the university decided to switch after peer institutions, such as Cornell University, reported better experiences with Aetna. UHC currently offers an employee medical plan with NYU Langone, where gender-affirming care benefits include mental health services, surgeries and fertility preservation. 

In a statement to WSN, NYU spokesperson Joseph Tirella said that eligible NYU employees “will have the same plan options they currently enjoy today” under Aetna. He emphasized that the switch will only apply to active and retiree medical plans, and does not affect students.

“This change was not undertaken lightly,” Tirella wrote. “It was made after a thorough review of proposals from multiple insurance providers, the goal of which was to choose the plan that best served NYU employees.”

Holland told faculty and administrators that as opposed to UHC’s 10.9% cost increase, Aetna’s 6.1% cost increase comes with better account management, upgraded customer service and stronger alignment with NYU Langone services. She added that Aetna can provide more coordinated and potentially lower-cost care to patients as a CVS Health company. 

She said that UHC’s services declined following the COVID-19 pandemic, citing slower response times and worse account management at a higher cost. George Washington University is also switching from UHC to Aetna in the new year, although the University of Virginia is making the opposite change.

At the meetings, Holland also said that under NYU’s self-insured plan, specialized benefits — including mental health and acupuncture services — will not be affected because the university retains control over its coverage. 

The transition was reviewed by members of on campus councils including the Tenure-Track Faculty Senators Council, Full-Time Continuing Contract Faculty Senators Council and Administrative Management Council before being approved by NYU leadership. No action is required for NYU employees to maintain existing medical coverage.  

In February, NYU Langone denied gender-affirming care to at least two patients under the age of 19 following a related executive order from the Trump administration. In the wake of the health care change, some expressed concern about whether it would still be offered over social media posts.

“The selection of a new company to administer the plan reflects NYU’s ongoing commitment to providing high-quality, cost-effective benefits to our faculty and employees,” Tirella wrote. “With the change to Aetna, NYU expects a focus on enhanced services and improved member support, as well as better financial outcomes at a time when healthcare costs are rising nationally.”

Contact Eva Mundo at [email protected].