Contract Impasse Looms Over Healthcare Costs: Legacy Health vs. Regence BlueCross BlueShield of Oregon

In the midst of ongoing negotiations, Legacy Health is currently in a contract standoff with Regence BlueCross BlueShield of Oregon. If an agreement is not reached soon, patients could face significant increases in their healthcare costs. Legacy Health has already warned 200,000 customers that their prices may jump significantly in just a few days if a new contract is not finalized.

The contract between Legacy Health and Regence BlueCross BlueShield of Oregon is set to expire on Sunday without a new agreement in place. If this happens, patients insured with Regence could find that their providers are out of network, resulting in higher costs. Legacy’s chief population health officer, Merrin Permut, has notified patients of the potential contract termination and advised those with scheduled appointments after March 31 to contact their insurance company for information on in-network vs. out-of-network costs.

While it is common for contract negotiations to have moments of brinkmanship, both sides seem to be taking a tough stance in this situation. Regence claims they offered Legacy a competitive contract that has yet to be accepted or rejected by the hospital system, while Legacy highlights the financial disparity between themselves and Regence. The hospital system has reported a loss of $172 million in the last fiscal year, while Regence reported a 4.8% profit on billions of dollars in revenue.

The outcome of this contract negotiation will determine the future costs and network access for Legacy patients insured with Regence BlueCross BlueShield of Oregon.