Blue Cross Blue Shield customers could lose in-network coverage at Hendrick

Brian Bethel
Abilene Reporter-News

An undetermined number of Blue Cross Blue Shield of Texas customers may lose access to Hendrick Health System doctors, hospitals and home health services Feb. 1 if a contract agreement between the hospital system and the insurance provider cannot be reached.

A crew puts up a new sign for Hendrick Medical Center South, the former Abilene Regional Medical Center. The two hospital systems merged in 2020.

A statement from Blue Cross Blue Shield sent to the Reporter-News states “Hendrick Health in Abilene sent us a notice of termination and a demand for higher prices.”

Hendrick in 2020 purchased the former Abilene Regional Medical Center and Brownwood Regional Medical Center from an affiliate of Community Health Systems.

Hendrick now is the only hospital in Abilene.

Multiple networks affected

If new contracts are not signed, Hendrick physicians, hospitals and home health services will leave several of the company’s networks, Blue Cross said Tuesday.

Those networks are:

∎ Blue Choice PPO

∎ Blue Essentials

∎ Blue Advantage HMO

Blue Cross Blue Shield Logo

The company did not provide the number of customers that could be affected.

In a separate statement, the hospital system late Tuesday said it has been working with Blue Cross Blue Shield "as part of the normal course of business between a healthcare provider and insurance company ...in good faith to negotiate a new contract for Hendrick Medical Center and Hendrick Medical Center South services in Abilene and Hendrick Clinic and Hendrick Anesthesia Network providers in Abilene and Brownwood."

"We are making progress in our discussions, but have not yet reached an agreement," the hospital system said. "We are hopeful that the parties reach an updated agreement appropriate for both BCBSTX and Hendrick."

In its statement, Blue Cross said it was "committed to reaching an agreement that will continue to give Blue Cross and Blue Shield of Texas members access to Hendrick doctors and hospitals at a fair price."

“While we want agreements that compensate Hendrick fairly, their rate demand is clearly not in the best interests of our members, Abilene businesses or the communities we serve in the region,” the company said.

Blue Cross said it wants to “stand up for affordable care, especially in a time when most businesses and our members in the Abilene region are facing inflationary pressures and a potential recession.”

If agreement can't be reached

Should Hendrick leave the network, the company said it will help members move care to “quality, cost-effective, in-network hospitals."

Members being treated for a pregnancy, disability, acute condition or life-threatening illness may qualify as a continuity of care patient, the company said, meaning they still may be able to receive care from Hendrick at in-network rates, even if the hospital system leaves its network.

Members can call the number on their ID card for information, or to find in-network care.

Customers also can access Blue Cross’ website and online provider finder, the company said.