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Staff Report on July 10, 2014
CTMC is back in Blue

By Andy Sevilla

Central Texas Medical Center and other Adventist Health System hospitals in Texas have rejoined BlueCross BlueShield’s healthcare provider network this month after a contractual dispute terminated access in April.

Effective July 1, CTMC was back in the BlueCross BlueShield of Texas (BCBSTX) in-network list of healthcare providers, ending its three-month out-of-network status that impacted thousands of Hays County residents covered by the private insurer.

Adventist hospitals include CTMC, Metroplex Adventist Hospital in Killeen and Rollins Brook Community Hospital in Lampasas.

“We are committed to investing in resources, training, staff, and technology that support our tradition of excellence and uphold our mission of patient-centered care,” CTMC President and CEO Sam Huenergardt said in a statement. “We are pleased to once again be able to provide great care to Blue Cross Blue Shield members in our community.”

During CTMC’s out-of-network state, BCBSTX members seeking healthcare services had to travel to Seton Medical Center Hays in Kyle or to other area hospitals within the insurer’s in-network list of providers. BCBSTX members could still seek emergency care at CTMC, though policyholders faced higher out-of-pocket costs for service. 

Jack Towsley, senior vice president for healthcare delivery at BCBSTX, said in a statement that the insurer stands by its members in sickness and health, ensuring quality and affordable healthcare benefits, as it has for more than 80 years.

“Adventist is a valuable partner, and we’re pleased our continued discussions have resulted in an agreement that provides access to care for our members,” he said.

Adventist and BCBSTX’s relationship fizzled after months-long contractual negotiations allowed the pair’s agreement to terminate April 6. 

Adventist claimed BCBSTX had a history of underpaying its hospitals for service. The private insurer alleged Adventist was seeking “significant increases” in reimbursement rates for the same services provided under its former contract, which expired in April.

Adventist claimed BCBSTX refused an offer to bring in a third-party auditor to confirm any proposed rates offered for service in a new contract were in line with what the private insurer pays other hospitals.

With the stalemate behind them, Adventist and BCBSTX announced in late June that the two reached a multi-year agreement set to begin July 1. 

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