Glitch in city worker health insurance leaves them without coverage for now

Jan. 12--Some city employees who have gone to doctors and pharmacists since the start of the New Year have been told they no longer have health insurance, a mistake in the automatic renewal process that City Hall officials said Wednesday would soon be corrected.

"The city's health care vendors reported a technical error to the city's benefits division last week and are working to correct the error," city spokeswoman Mary Kay Accurso said in a prepared statement, adding that it affected both HMO and PPO members. "These employee insurance plans remain active, and there should be no issues accessing coverage once the issue is resolved."

The problem became public when someone anonymously posted on a Chicago police blog about being turned away from a doctor's office and also being told by a pharmacy worker that his wife's $10 co-pay for generic heart medication would now cost him $590. Others weighed in with similar experiences, identifying Blue Cross-Blue Shield as the insurer.

A Blue Cross spokeswoman did not answer questions about how many employees were affected, how the mistake occurred or when the issue would be remedied. She suggested those with questions should call the phone number on their insurance card.

Fraternal Order of Police President Dean Angelo said he was aware of the issue and added that it "should be rectified shortly but not as quickly as the officers and (their) families deserve."

City officials also acknowledged the problem in a note to union leaders that stated "BCBSIL is experiencing eligibility issues with some of the city of Chicago's HMO members. The pharmacies have been instructed not to turn anyone away without reaching out to" a pharmacy benefit manager for Blue Cross.

Northwest Side Ald. Nick Sposato, 38th, said city officials told him they expected to have the problem remedied by Friday, but in the meantime city employees on the HMO plan would need to pay full price for prescriptions.

"After they get it fixed, anybody who had to shell out while this glitch was going on will be able to go back to Walgreen's or CVS or wherever and they'll just reimburse them for the difference," Sposato said.

The glitch came as the city was completing Mayor Rahm Emanuel's phase out of health care insurance subsidies for most retired city workers to save about $90 million a year. Those subsidies came to an end on Jan. 1, but the move is being challenged in court.

Chicago Tribune's John Byrne and Jeremy Gorner contributed.

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