HOUSTON, Texas — Memorial Hermann Health System and Blue Cross Blue Shield of Texas reached a new contract agreement Saturday after more than eight months of negotiations, restoring in-network access for patients covered under the insurer’s plans.
The agreement follows the expiration of the previous contract on April 1, which caused Memorial Hermann facilities to be considered out-of-network for patients with Blue Cross Blue Shield of Texas commercial and Blue Advantage Marketplace plans.
Memorial Hermann said the new deal reinstates in-network access for affected patients across its facilities. The hospital system said it sought terms that support long-term operations and reflect the value of its physician network.
Blue Cross Blue Shield of Texas confirmed the agreement and said it is retroactive to April 1. The insurer said it will reprocess claims previously handled as out-of-network during the contract gap as in-network claims. The company said the process may take several weeks and does not require action from members.
During the lapse in coverage, some patients qualified for in-network rates through a continuity-of-care program. Memorial Hermann said the program applied to individuals who were pregnant or receiving treatment for disabilities, acute conditions, or life-threatening illnesses.
The hospital system advised patients who canceled appointments during the contract dispute to contact their providers to reschedule and directed members with coverage questions to the customer service number on their insurance cards.
The agreement resolves a temporary disruption that required some patients to either pay higher out-of-network costs or seek care from providers within the insurer’s network.