Skip to main content
Sister Publication Links
  • ESG: THE NEW IMPERATIVE
Subscribe
  • Sign Up Free
  • Login
  • Subscribe
  • News
    • Current News
    • COVID-19
    • Providers
    • Insurance
    • Government
    • Finance
    • Technology
    • Safety & Quality
    • Transformation
    • People
    • Regional News
    • Digital Edition (Web Version)
    • Patients
    • Operations
    • Care Delivery
    • Payment
    • Midwest
    • Northeast
    • South
    • West
  • Digital Health
  • Insights
    • ACA 10 Years After
    • Best Practices
    • Special Reports
    • Innovations
  • Opinion
    • Bold Moves
    • Breaking Bias
    • Commentaries
    • Letters
    • Vital Signs Blog
    • From the Editor
  • Events & Awards
    • Awards
    • Conferences
    • Galas
    • Virtual Briefings
    • Webinars
    • Nominate/Eligibility
    • 100 Most Influential People
    • 50 Most Influential Clinical Executives
    • Best Places to Work in Healthcare
    • Excellence in Governance
    • Health Care Hall of Fame
    • Healthcare Marketing Impact Awards
    • Top 25 Emerging Leaders
    • Top 25 Innovators
    • Diversity in Healthcare
      • - Luminaries
      • - Top 25 Diversity Leaders
      • - Leaders to Watch
    • Women in Healthcare
      • - Luminaries
      • - Top 25 Women Leaders
      • - Women to Watch
    • Digital Health Transformation Summit
    • ESG: The Implementation Imperative Summit
    • Leadership Symposium
    • Social Determinants of Health Symposium
    • Women Leaders in Healthcare Conference
    • Best Places to Work Awards Gala
    • Health Care Hall of Fame Gala
    • Top 25 Diversity Leaders Gala
    • Top 25 Women Leaders Gala
    • - Hospital of the Future
    • - Value Based Care
    • - Supply Chain
    • - Hospital at Home
    • - Workplace of the Future
    • - Digital Health
    • - Future of Staffing
    • - Hospital of the Future (Fall)
  • Multimedia
    • Podcast - Beyond the Byline
    • Sponsored Podcast - Healthcare Insider
    • Video Series - The Check Up
    • Sponsored Video Series - One on One
  • Data Center
    • Data Center Home
    • Hospital Financials
    • Staffing & Compensation
    • Quality & Safety
    • Mergers & Acquisitions
    • Data Archive
    • Resource Guide: By the Numbers
    • Surveys
    • Data Points
  • MORE +
    • Contact Us
    • Advertise
    • Media Kit
    • Newsletters
    • Jobs
    • People on the Move
    • Reprints & Licensing
MENU
Breadcrumb
  1. Home
  2. Insurance
December 19, 2022 02:29 PM

Mississippi's largest hospital, Blue Cross end contract dispute

Associated Press
  • Tweet
  • Share
  • Share
  • Email
  • More
    Reprints Print
    Mississippi_State_Capitol_Building_26815684617_i.jpg

    Mississippi State Capitol Building

    Mississippi's largest private insurer and its largest hospital have reached a new contract, meaning patients covered by Blue Cross & Blue Shield of Mississippi can resume seeking care at the University of Mississippi Medical Center at in-network rates.

    The insurer and hospital announced Friday that the medical center had returned to being in-network as of Thursday. The announcement, in a three-paragraph statement, left unanswered whether the hospital or insurer came out on top in their struggle over how much the medical center should be paid.

    “Blue Cross and UMMC remain focused on their missions of serving Mississippians’ healthcare needs,” the statement said. “The terms of the contracts are confidential.”

    Not a Modern Healthcare subscriber? Sign up today.

    The medical center has long argued that it's being underpaid by Blue Cross compared to similar hospitals in other states. The medical center is Mississippi's sole provider of some medical specialities, including the state's only top-level trauma center and its most capable neonatal intensive care unit. Other hospitals in much of the state routinely transfer patients with the most complex conditions to the medical center's flagship complex in Jackson.

    Blue Cross, though, has said paying the medical center at the rates it demanded would cause customer premiums to rise.

    The hospital and insurer have also squabbled over how Blue Cross pays hospitals for quality outcomes.

    The yearslong dispute blew up again on April 1, when the medical center parted ways with Blue Cross. Patients covered by the insurer could still see medical center-affiliated providers, but most faced higher costs. Some patients reported putting off surgeries, while others traveled out of state.

    Dr. Alan Jones, associate vice chancellor for clinical affairs at the medical center, urged medical center faculty members to help reestablish relationships with Blue Cross policyholders, according to a memo obtained by the Northeast Mississippi Daily Journal.

    “We understand that the past several months have been difficult and I appreciate the work our clinical departments, care teams and support staff have done to assist impact patients,” the newspaper reported.

    State Insurance Commissioner Mike Chaney said in a statement that he was thankful the two entities overcame their differences and returned affordable healthcare to 750,000 policyholders.

    Download Modern Healthcare’s app to stay informed when industry news breaks.

    “I sincerely hope that UMMC and [Blue Cross and Blue Shield of Mississippi] will now move forward in a collaborative relationship to provide innovative, accessible and affordable healthcare in our State and will put patients and policyholders as their first priority,” Chaney said.

    Both sides battled for public favor with advertisements and billboards. In July, Blue Cross & Blue Shield sued three medical center officials for defamation, including Vice Chancellor and Medical School Dean Louann Woodward, Jones and spokesperson Marc Rolph. The insurer said their public statements made it appear that the insurer dropped the medical center from its network when the insurer said it was the medical center that ended agreements with the insurer.

    It wasn't immediately clear if the insurer would drop the lawsuit.

    The dispute could lead to increased regulation of insurers. Chaney has proposed that lawmakers block contracts between insurance companies and healthcare providers from being canceled outside of a 90-day window before an open enrollment period.

    The hospital also lost $50 million in federal COVID-19 relief funds that it planned to use for capital improvements to its adult hospital and operating rooms after Republican Gov. Tate Reeves vetoed the appropriation in April. Reeves said at the time that the state shouldn't “further subsidize the operations of UMMC to the detriment of competitors" when the hospital was “willingly” turning away Blue Cross patients.

    Related Articles
    Mississippi at risk of losing over half of its rural hospitals
    Blue Cross & Blue Shield of Mississippi sue for defamation
    CEO steps down at financially troubled Mississippi hospital
    Health system in south Mississippi seeks sale or merger
    Mississippi could rethink a Medicaid managed care contract
    Letter
    to the
    Editor

    Send us a letter

    Have an opinion about this story? Click here to submit a Letter to the Editor, and we may publish it in print.

    Recommended for You
    medicaid-website.png
    Millions at risk of losing Medicaid coverage once COVID-19 emergency ends
    medicare-advantage-CMS-audits
    More MA insurer audits mean more scrutiny on providers
    Most Popular
    1
    More healthcare organizations at risk of credit default, Moody's says
    2
    Centene fills out senior executive team with new president, COO
    3
    SCAN, CareOregon plan to merge into the HealthRight Group
    4
    Blue Cross Blue Shield of Michigan unveils big push that lets physicians take on risk, reap rewards
    5
    Bright Health weighs reverse stock split as delisting looms
    Sponsored Content
    Daily Finance Newsletter: Sign up to receive daily news and data that has a direct impact on the business and financing of healthcare.
    Get Newsletters

    Sign up for enewsletters and alerts to receive breaking news and in-depth coverage of healthcare events and trends, as they happen, right to your inbox.

    Subscribe Today
    MH Magazine Cover

    MH magazine offers content that sheds light on healthcare leaders’ complex choices and touch points—from strategy, governance, leadership development and finance to operations, clinical care, and marketing.

    Subscribe
    Connect with Us
    • LinkedIn
    • Twitter
    • Facebook
    • RSS

    Our Mission

    Modern Healthcare empowers industry leaders to succeed by providing unbiased reporting of the news, insights, analysis and data.

    Contact Us

    (877) 812-1581

    Email us

     

    Resources
    • Contact Us
    • Advertise with Us
    • Ad Choices Ad Choices
    • Sitemap
    Editorial Dept
    • Submission Guidelines
    • Code of Ethics
    • Awards
    • About Us
    Legal
    • Terms and Conditions
    • Privacy Policy
    • Privacy Request
    Modern Healthcare
    Copyright © 1996-2023. Crain Communications, Inc. All Rights Reserved.
    • News
      • Current News
      • COVID-19
      • Providers
      • Insurance
      • Government
      • Finance
      • Technology
      • Safety & Quality
      • Transformation
        • Patients
        • Operations
        • Care Delivery
        • Payment
      • People
      • Regional News
        • Midwest
        • Northeast
        • South
        • West
      • Digital Edition (Web Version)
    • Digital Health
    • Insights
      • ACA 10 Years After
      • Best Practices
      • Special Reports
      • Innovations
    • Opinion
      • Bold Moves
      • Breaking Bias
      • Commentaries
      • Letters
      • Vital Signs Blog
      • From the Editor
    • Events & Awards
      • Awards
        • Nominate/Eligibility
        • 100 Most Influential People
        • 50 Most Influential Clinical Executives
        • Best Places to Work in Healthcare
        • Excellence in Governance
        • Health Care Hall of Fame
        • Healthcare Marketing Impact Awards
        • Top 25 Emerging Leaders
        • Top 25 Innovators
        • Diversity in Healthcare
          • - Luminaries
          • - Top 25 Diversity Leaders
          • - Leaders to Watch
        • Women in Healthcare
          • - Luminaries
          • - Top 25 Women Leaders
          • - Women to Watch
      • Conferences
        • Digital Health Transformation Summit
        • ESG: The Implementation Imperative Summit
        • Leadership Symposium
        • Social Determinants of Health Symposium
        • Women Leaders in Healthcare Conference
      • Galas
        • Best Places to Work Awards Gala
        • Health Care Hall of Fame Gala
        • Top 25 Diversity Leaders Gala
        • Top 25 Women Leaders Gala
      • Virtual Briefings
        • - Hospital of the Future
        • - Value Based Care
        • - Supply Chain
        • - Hospital at Home
        • - Workplace of the Future
        • - Digital Health
        • - Future of Staffing
        • - Hospital of the Future (Fall)
      • Webinars
    • Multimedia
      • Podcast - Beyond the Byline
      • Sponsored Podcast - Healthcare Insider
      • Video Series - The Check Up
      • Sponsored Video Series - One on One
    • Data Center
      • Data Center Home
      • Hospital Financials
      • Staffing & Compensation
      • Quality & Safety
      • Mergers & Acquisitions
      • Data Archive
      • Resource Guide: By the Numbers
      • Surveys
      • Data Points
    • MORE +
      • Contact Us
      • Advertise
      • Media Kit
      • Newsletters
      • Jobs
      • People on the Move
      • Reprints & Licensing