Blue cross Blue Shield and Covenant Health in Contract Negotiations: Potential network changes Loom
Blue Cross Blue Shield of Texas (BCBSTX) is currently engaged in contract negotiations with Covenant Health, a move that could impact member access to care. The health insurer has stated its commitment to reaching an agreement that balances affordability and access for its members, acknowledging the financial pressures faced by both hospitals and consumers.
The current contract between BCBSTX and Covenant Health is set to expire on July 31st. If a new agreement is not finalized by this date, Covenant Health hospitals, facilities, doctors, and healthcare professionals will be removed from BCBSTX’s Blue Choice PPOโ and Blue Essentialsโ networks effective August 1st, 2025. this follows Covenant Health’s earlier decision to leave the ParPlan network on April 23rd, 2025.
Dr. Thompson of Covenant Health explained the rationale behind their departure from the ParPlan,citing reimbursement rates that are insufficient to cover costs,leading to important financial losses for the health system when treating patients under that plan.
Despite the ongoing negotiations and the potential for network changes, both covenant Health and BCBSTX are urging patients to maintain their current care relationships. Dr. Thompson encouraged patients to “stay with your doctor,” assuring them that Covenant Health is committed to finding a resolution and will continue to provide care during the interim period.
For members facing unusual circumstances, BCBSTX offers a “continuity of care” program. This program may apply to individuals with high-risk pregnancies (past the 13th week), acute or disabling conditions, or life-threatening illnesses. However,this coverage is typically limited to the specifically requested doctor.
Covenant Health has established a dedicated page for Frequently Asked Questions at www.providence.org/news/uf/690746213?streamid=6734916 and a hotline at 806-725-6663, available Monday through Friday from 8 a.m. to 5 p.m. BCBSTX has also provided an data page for members at www.bcbstx.com/covenant.
It is indeed critically important to note that Covenant Health will continue to accept out-of-network patients even if a new agreement with BCBSTX is not reached. members are encouraged to visit the provided links for the latest updates on the negotiation status.