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Blue Cross deal
Comments 0 | Recommend 0MCH signs deal with insurance provider
Medical Center Hospital and Blue Cross Blue Shield of Texas officially signed an agreement Friday, bringing to an end a dispute that made the hospital an out-of-network provider April 1.
The two-year agreement goes into effect Monday, Robert Abernethy, MCH chief financial officer, said.
While customers will not notice any change in their bill from when the hospital was previously in-network, Abernethy said MCH should break even on the deal. Previously, it claimed to lose $1.9 million a year treating Blue Cross patients.
"That can change because of the type of patients in treatment," he said.
Blue Cross spokeswoman Margaret Jarvis said the insurance provider's more than 30,000 Permian Basin customers would now see lower out-of-pocket costs with the company back in-network.
"It's certainly to everyone's benefit to have a larger network of hospitals offering quality treatment," she said. "Convenience is obviously a top priority."
While MCH and Blue Cross maintained communication throughout the stalemate, Abernethy said a meeting with two Blue Cross representatives Monday was key to the agreement.
Although MCH will now review its other managed care contracts, Abernethy doesn't expect a disturbance like the one with Blue Cross, which has a 70 percent share of the Permian Basin's insured market.
"They had a little more incentive to hold their line," he said. "The market share is not the same with other providers."
Jarvis reminded customers that MCH is in-network both for members of its health maintenance organization and preferred provider organization. If they have questions, they should call the number on the back of their Blue Cross cards.
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