Blue Cross, CHI St. Luke’s sign agreement
Blue Cross Blue Shield of Texas and the parent company of CHI
St. Luke’s have reached agreement on new contract that will allow some 65,000 patients to continue to see doctors, receive services and visit emergency rooms at in-network rates and the Houston hospital and its affiliates.
The deal, announced Friday, came about threeweeks after CHI
St. Luke’s said it was parting ways with the insurance giant after a dispute in pricing. The new contract is effective as of Friday.
CHI St. Luke’s CEO Doug Lawson said at the end of December the hospital system was profitable on its contracts with Blue Cross Blue Shield of Texas, but the profits were “marginal.” Blue Cross Blue Shield of Texas executives said they would not be able to meet CHI St. Luke’s request for higher prices.
Both the insurer and hospital system, however, were able to reach a truce in brokering a new multi-year contract. “This new contract is an affirmation of how important the choice to receive the accessible, value-driven medical care thatwe provide at St. Luke’s Health is to the health of our community,” Lawson said Friday evening.
"We advocated on our members’ behalf to keep health care prices affordable, particularly during a global pandemic when access to care is critical,” said Shara McClure, senior vice president of Texas health care delivery for Blue Cross Blue Shield.
CHI St. Luke’s and Blue Cross Blue Shield of Texas are among several Houston hospitals and national insurers in high-profile disputes over pricing as they come to an agreement. In 2019, United Healthcare and Houston Methodist, along with Cigna and Memorial Hermann, announced plans to sever ties. Both eventually arrived at agreements to continue in-network access for the insurance companies’ plan holders.