Central Wyoming Cancer Center at Risk of Closure Amid $2 Million Insurance Dispute

The Rocky Mountain Oncology Center (RMOC), the only dedicated cancer treatment facility in central Wyoming, is facing potential closure due to a $1.9 million payment dispute with an insurance provider, Cowboy State Daily reports.

According to a lawsuit filed Friday in Natrona County District Court, RMOC claims that Mountain Health Co-Op (MHC), a health insurer, is refusing to pay for ongoing patient care, citing past overpayments.

Mountain Health, based in Helena, Montana, argues that it overpaid RMOC for services provided between 2023 and 2024 and is withholding future payments until the alleged $1.9 million overpayment is recouped. RMOC, which operates locations in Casper and Lander, contends that this refusal to pay is jeopardizing its ability to continue offering critical cancer treatments to patients in Wyoming.

The cancer center serves Natrona and Fremont counties and provides treatment for 11 different types of cancer. In the lawsuit, RMOC’s attorney, Frank Chapman, states that without the $1.9 million in compensation, the facility may be forced to close its doors, which would significantly impact cancer care in the region.

RMOC claims that Mountain Health has provided no substantive evidence of the overpayments, offering only a link to a nonexistent webpage in response to their inquiries. Mountain Health acknowledged in a letter that communication around the issue had not been “as transparent as preferred.”

The lawsuit seeks a court order requiring Mountain Health to resume payments for patient services and is also pursuing damages for financial losses RMOC may have suffered as a result of the insurance company’s actions. So far, Mountain Health has withheld over $350,000 in payments, and RMOC has sent a cease-and-desist letter to halt further payment suspensions.

Mountain Health has not yet publicly commented on the lawsuit.