Premera Blue Cross, MultiCare battled over coverage. Here’s the outcome

Debbie Cockrell, The News Tribune (Tacoma, Wash.)News Tribune

Tacoma-based MultiCare and Mountlake Terrace-based Premera Blue Cross appear to have avoided breaking off insurance coverage for patients.

In statements issued Tuesday, both entities said they “have reached an agreement in principle” that will allow Premera members to maintain in-network access to care at all MultiCare hospitals, clinics and facilities throughout Washington state.

MultiCare stated, “We value our longstanding partnership with Premera and are pleased to continue providing high-quality, locally accessible care to the communities we serve.”

Numbers provided to The News Tribune from Premera representatives showed that last year 163,000 Premera members received care at MultiCare sites across Washington, more than 61,000 of those in Pierce County, where more than 80,000 Premera members would be impacted.

Bill Akers, executive vice president at Premera Blue Cross, said in an emailed statement, “MultiCare will remain in-network while both organizations work through the remaining contract details.” Akers added that the insurer would “look forward to continuing our relationship with MultiCare and serving our communities together.”

The entities went public with their insurance battle in April after MultiCare issued a termination notice to Premera Blue Cross, affecting all commercial plans, Premera Blue Cross individual plans and Blue Cross Blue Shield members who are part of the Federal Employee Program.

The two sides were at odds over reimbursement rates, with MultiCare contending that Premera Blue Cross’ rates for hospital and clinician services were among the lowest, while an executive with Premera told The News Tribune the insurer was “at a breaking point now with affordability.”

The two sides continued talks through the summer, extending the cutoff deadline twice, with the latest extension deadline moved to July 31 before Tuesday’s announcement.

Had an agreement not been reached, Premera members would have been out-of-network with MultiCare starting Aug. 1.

Akers said Tuesday, “Throughout these discussions, Premera’s focus has been protecting access to care while helping keep healthcare affordable. Members can continue receiving care from MultiCare providers and facilities without interruption while we work together on a long-term solution that supports affordability for our members, employers, and the communities we serve.”

Separately, MultiCare this spring reached an agreement to remain in-network for Regence BlueShield commercial members in Grays Harbor, Thurston and Yakima counties.

Previous reporting from The News Tribune contributed to this report.