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Next Gen Econ > Debt > 5 Provider Directory Errors That Lead to Out-of-Network Charges
Debt

5 Provider Directory Errors That Lead to Out-of-Network Charges

NGEC By NGEC Last updated: January 6, 2026 6 Min Read
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In the first week of 2026, a surge of “Ghost Network” reports has hit state insurance commissioners, revealing a persistent gap in healthcare transparency. A “Ghost Network” refers to a health plan’s provider directory that is filled with inaccurate or outdated information, listing doctors who are no longer practicing, not accepting new patients, or—most commonly—no longer in-network. While the No Surprises Act requires plans to verify their directories every 90 days, recent audits show that error rates in some 2026 directories still exceed 30%. If you rely on a faulty directory and receive a surprise out-of-network bill, you are protected by federal law, but you must know how to spot these five specific errors to file a successful dispute.

1. The “Retired but Active” Glitch

One of the most frequent provider directory errors is the failure to remove retired physicians. Despite new 2026 requirements for Medicare Advantage plans to update directories within 30 days of a status change, many systems still carry “ghost” listings for doctors who left the workforce years ago. When a patient calls a retired doctor’s number, they are often referred to a “successor” at the same office who may not be in the same insurance network. If you unknowingly see the new doctor based on the old directory listing, the insurance company may try to deny the claim as out-of-network, even though their own data led you to that office.

2. Incorrect “Laterality” and Location Mapping

In 2026, doctors are often part of large healthcare “groups” that have different contracts for different physical locations. A common directory error occurs when a doctor is listed as “In-Network” for an entire city, but they are actually only contracted for one specific satellite office. If you book an appointment at the “Main Street” location based on the directory, only to find out that your plan only covers the “West Side” clinic, you could be hit with a massive balance bill. Under the No Surprises Act, if you relied on inaccurate location data in the directory, your plan must limit your cost-sharing to in-network amounts.

3. The “Ghost” Specialty Error

Many 2026 directories incorrectly list a provider’s specialty, leading patients to seek care from the wrong type of expert. For example, a directory might list a Nurse Practitioner as an “Endocrinologist.” If your plan requires you to see a “Board-Certified Specialist” for certain high-cost biologics, the insurer may refuse to pay the claim because the provider’s credentials in the directory don’t match the plan’s strict 2026 medical necessity filters. This error is particularly prevalent in behavioral health, where over 80% of listed providers have been found to be unreachable or incorrectly categorized in recent federal reviews.

4. Terminated Contracts with “Active” Status

As medical supply and provider contracts are renegotiated in 2026, many doctors are leaving networks mid-year. A frequent error is the “Update Lag,” where a provider’s contract ended on January 1, but the directory still shows them as “Active” through February or March. If you receive care during this window, you are protected by the Continuity of Care rules. The No Surprises Act mandates that if you are a “continuing care patient” and your provider’s status changes, you must be allowed up to 90 days of continued in-network coverage while you transition to a new doctor.

5. Mismatched “Telehealth Only” Status

Starting in 2026, it is mandatory for health plans to track whether providers offer telehealth. A new directory error has emerged where a provider is listed as “In-Network” for in-person visits, but their contract actually only covers virtual care (or vice versa). If you show up for an in-person exam and the insurer denies the “Facility Fee” because that provider is only a “Virtual Network” member, you have been misled by a format error. Always verify the “Service Delivery Method” in the directory before booking an in-person appointment at a new clinic.

How to Dispute a “Ghost Network” Bill

If you are charged out-of-network rates due to provider directory errors, you have the legal right to fight back. First, take a screenshot or print the directory listing that shows the provider as in-network on the date of your service. Second, file an internal appeal with your insurer citing PHS Act section 2799B-9, which prohibits plans from charging more than in-network rates if the patient was misled by inaccurate directory data. If the insurer still refuses, you can contact the No Surprises Help Desk at 1-800-985-3059 to report a violation. In 2026, the burden of data accuracy is on the insurance company—not the patient.

Have you been hit with a “surprise” bill after checking your plan’s directory and seeing the doctor listed as in-network? Leave a comment below.

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  • What Happens When Medicare Refuses to Cover the Doctor You’ve Seen for Years
  • Health Symptoms You’re Ignoring That Doctors Will Regret Later

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