Minneapolis-based Children's Minnesota and Eagan-based Blue Cross and Blue Shield of Minnesota reached a deal Friday, saving 66,000 patients from paying out-of-network rates.
Children's Minnesota went out-of-network with BCBS of Minnesota July 5 after the parties failed to negotiate a new contract before their existing agreement expired. However, the hospital and insurer reached a new deal July 7. Minnesota Attorney General Lori Swanson intervened to help the two parties reach an agreement after policyholders expressed concern over losing access to in-network care at Children's Minnesota, according to the St. Cloud Times.
"I really want to commend the two CEOs of Children's and Blue Cross for coming together and doing this in the Minnesota way," Ms. Swanson said during a news conference Friday, according to the SC Times. "They were just incredibly productive in their conversations."
The new contract is a three-year deal; however, the specific terms of the agreement and how the deal could affect prices for BCBS policyholders have not been disclosed.
"Blue Cross is very pleased that our members now have clarity on the network status of Children's and can continue to see their doctors," said Michael Guyette, president and CEO at Blue Cross. "Children's is an essential partner in this work, specifically our commitment to children's health and access to quality care in the region."
Children's Minnesota CEO Bob Bonar said the new contract is "fair and equitable," according to the report.