Houston-based Memorial Hermann Health System and BCBS Texas agreed on a contract April 11, bringing the health system back in network.
The agreement ensures “access to quality care at cost-effective prices,” BCBS Texas said in an April 13 statement shared with Becker’s. It covers both commercial and Medicare Advantage members. The previous contract expired April 1, affecting commercial members. The health system had been out of network for Medicare Advantage plans since Jan. 1.
Memorial Hermann previously told Becker’s negotiations had been ongoing for nearly eight months.
“Throughout these negotiations, our priority has been to secure a fair agreement that supports the long-term sustainability of the high-quality care we provide and recognizes the value of our physician network,” Memorial Hermann said in an April 11 statement shared with Becker’s.
The organizations had agreed to extend termination dates — continuing access to facilities and physicians — through April 30 for the University of Texas System, the State of Texas Employee Retirement System, the State of Texas Teacher Retirement System and Texas A&M University in College Station. Memorial Hermann’s website had also noted BCBS plans based in other states were encompassed in the negotiations since these plans rely on local agreements to determine access. BCBS Texas operates under Health Care Service Corp.
Negotiations leading up to a previous contracting deadline in early 2022 put roughly 100,000 patients in limbo, according to the Houston Chronicle. The organizations eventually reached an agreement that March.
This story was updated April 13.
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