Jun 27, 2024

Hutchinson Clinic warning companies with BCBS of cancellation

Posted Jun 27, 2024 10:45 AM
Hutchinson Clinic
Hutchinson Clinic

NICK GOSNELL
Hutch Post

HUTCHINSON, Kan. — In a letter sent to local companies obtained by Hutch Post, the Hutchinson Clinic has announced it will not be doing business with Blue Cross Blue Shield in-network next year. This decision, if it stands, will effect a little over 26,000 Hutch Clinic patients.

"The Hutchinson Clinic, PA has cancelled its contract with Blue Cross Blue Shield of Kansas (BCBSKS) and Blue Cross Blue Shield (BCBS) Affiliates effective January 1, 2025," the letter says. "The Hutchinson Clinic, PA plans to remain in-network with all other current national and regional health insurance plans for the 2025 year."

BCBS is still in network for the remainder of 2024.

"What the clinic requested from Blue Cross Blue Shield of Kansas was a percent increase year over year for the next three years to account for inflationary costs related to pharmaceuticals, supplies, and labor," said Hutchinson Clinic CEO Kolbe Sheridan. "Blue Cross Blue Shield of Kansas has shared with us that they have one fee schedule for the entire state of Kansas and that they were unwilling to negotiate that fee schedule."

Blue Cross and Blue Shield of Kansas said in a statement provided to Hutch Post Wednesday that the reimbursement rate isn't even out yet. The statement is below, in italics.

We are disappointed that the Hutchinson Clinic sent BCBSKS a termination notice effective December 31, 2024 prior to the release of 2025 reimbursement rates.  We hope they reconsider once the 2025 reimbursement rates are released. Our goal is to compensate providers fairly while being good stewards of our members' health care dollars.

We deliver statewide reimbursement rates to providers in July. Providers then have until September 3 to choose whether they want to remain in our network. This is the standard, annual contract procedure.

The Clinic is asking businesses to let BCBS know of their desire to have a deal struck.

"The Hutchinson Clinic, PA has cared for the patients of Reno County and the surrounding counties in the state of Kansas for 65 years. Please allow us to continue providing the most advanced, timely, and compassionate care possible to your employees and their families. If having Hutchinson Clinic, PA in the Blue Cross Blue Shield network is a priority for your business, please kindly share your feedback with Blue Cross Blue Shield Kansas directly at [email protected]."

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