Sparrow Hospital Talks with Blue Cross Blue Shield

By: Lori Jane Gliha
By: Lori Jane Gliha

Representatives from Blue Cross Blue Shield of Michigan say they don't believe a contract will be in place with Sparrow Hospital after Dec. 31. That's the date their contract expires.

Sparrow Hospital says it is losing two to three million dollars in its contract with the insurance company. They say that's because it offers a large discount to Blue Cross Blue Shield for being the biggest insurance provider in partnership with the hospital, covering at least 20 percent of patients that need medical care.

Sparrow Hospital says it wants the insurance company to pay more for hospital services to keep up with rising costs.

Representatives from Blue Cross Blue Shield say they don't believe Sparrow Hospital is losing as much money as they say. Blue Cross Blue Shield officials say they've offered to become involved in Sparrow Hospital's accounting process to determine if an increase in reimbursement costs is necessary, but they say Sparrow Hospital has not responded to the offer.

Sparrow Hospital says it wants to continue its relationship with the insurance company.


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