COEUR D’ALENE, Idaho — Thousands of patients in North Idaho face uncertainty about their healthcare coverage as Kootenai Health negotiates with Regence Blue Shield.
More than 11,000 Regence Blue Shield members will receive letters explaining that Kootenai Health would be out-of-network if no agreement is reached by January 1.
Kootenai Health officials say they’re working hard to reach a deal because they know they serve a critical role as one of the only major hospitals in the region.
“We’re going to make sure we get an agreement in place as quickly as possible,” said Michele Bouit, Kootenai Health’s Chief Financial Officer. “We just have to make sure that it covers our cost increases and that we are paid fairly for the work that we’re doing.”
These negotiations happen every few years between hospitals and insurance companies. Bouit says this situation isn’t unusual.
“I know it’s scary for patients and I know it’s scary for our community members, but it’s very typical,” Bouit said. “Every healthcare organization goes through this.”
The agreement may not happen by the deadline.
“Our goal is to come to an agreement with Regence,” Bouit said. “It may be that it’s going to be after the end of the year, just based on where we are at.”
Regence is trying to negotiate lower rates with the hospital to keep costs down for customers.
“The reimbursement rates that Kootenai Health proposed initially are higher than they have traditionally been in the past,” said Ryan Pharis, Regence Blue Shield’s Vice President of Network Management. “It’s our duty to fight for our members’ affordability.”
Both sides agree that delays would disrupt patients with Regence Blue Shield insurance.
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