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Memorial Hermann, Blue Cross Blue Shield reach deal to restore care to tens of thousands of Texans

The two sides had been in a months-long standoff over renewing their agreement that expired on March 1 leaving patients caught in the middle.

HOUSTON — A months-long standoff between Blue Cross Blue Shield of Texas and Memorial Hermann Health System is finally over, both sides announced Friday.

Their agreement had expired on March 1, forcing tens of thousands of patients to change doctors, cancel appointments or pay out-of-network prices.

"The new four-year agreement allows BCBSTX members continued access to Memorial Hermann hospitals throughout the Houston region while expanding future access to Memorial Hermann providers for our Blue Advantage HMO members" BCBSTX said in a statement.

Memorial Hermann says it has 265 hospitals and facilities across Texas, along with more than 3,000 physicians in their network, making it the largest provider in the state. 

Patients who paid out-of-network costs before the agreement was reached should call the number on the back of their BCBSTX card, Memorial Hermann said. 

Full statement from Memorial Hermann

"We are pleased to share that Memorial Hermann has reached an agreement to continue our relationship with BlueCross BlueShield of Texas (BCBSTX), maintaining the integrity of both our health system and our clinically integrated physician network (MHMD), so we can continue serving our patients with exceptional, high-quality, affordable health care.

This means that in-network access to Memorial Hermann’s hospitals, facilities and affiliated providers is restored for our patients with BCBSTX commercial PPO/POS, EPO, Blue Essentials HMO, and Medicare Advantage HMO/PPO health plans, and they will not experience any further disruption in their care, effective immediately.

As the state’s largest health insurer, BCBSTX’s commitment to the sustainability of our health system, our physician network, and our Accountable Care Organization is integral to the health and wellbeing of the many communities we have proudly served for more than a century. It is our distinct honor and privilege to continue delivering these services as in-network providers, for all those who need us, for many more years to come.

Thank you for entrusting us with your care."

Full statement from BCBSTX

"Through determined efforts on both sides, Blue Cross and Blue Shield of Texas has reached an agreement with the Memorial Hermann Health System and its physicians.

The new four-year agreement allows BCBSTX members continued access to Memorial Hermann hospitals throughout the Houston region while expanding future access to Memorial Hermann providers for our Blue Advantage HMO members.

Our goal with this and every negotiation is to help contain rising healthcare costs for our members.

We have great respect for Memorial Hermann. The health system has an important and vital role in delivering care to our members and patients. We are happy to continue our longstanding relationship with the health system."

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