
Blue Cross Blue Shield of Michigan (BCBSM) in Detroit and Michigan Medicine, the health care system operated by the University of Michigan in Ann Arbor, have reached agreement on a new, long-term contract that will continue in-network status for Michigan Medicine’s academic medical center and affiliated facilities, clinics, and physicians.
The two organizations say they will continue meeting over the coming weeks to finalize details of the new agreement, in anticipation of a June 30 renewal date. Final terms of the contract will remain proprietary between the two organizations.
“Blue Cross is pleased to reach this long-term agreement with our partners at Michigan Medicine — ensuring continued access to the system’s medical care services for our members, while advancing the affordability of their care and coverage,” says Tricia A. Keith, president and CEO of BCBSM.
Dr. David Miller, executive vice president for medical affairs for U-M and CEO of Michigan Medicine, says, “On behalf of our physicians, nurses, and all of our team members, we are grateful to have reached an agreement that ensures continued access for our patients and for Blue Cross members across the state to the world-class care available at Michigan Medicine.”
In March, Michigan Medicine threatened to lock non-Medicare/Medicaid BCBSM members out of its hospitals, outpatient centers, and physicians starting July 1 following a reported 44 percent payment increase request. U-M said BCBSM’s statement that it requested a 44 percent increase was false. BCBSM said at the time that it rejected public statements by Michigan Medicine that its proposals in negotiations would amount to a 30 percent reduction in payment.


