Anthem Blue Cross Blue Shield (formerly Blue Cross Blue Shield of Missouri) 
Effective December 31, 2006

Saint Louis University Hospital has provided quality health care to patients in this community for more than 70 years.  Regrettably, on Aug. 31, 2006, SLU Hospital began notifying patients, employer groups, physicians and others that it would be terminating its contract agreement with Anthem Blue Cross Blue Shield as of October 1 because the managed care company would not agree to fair reimbursement rates. Despite properly notifying Anthem of this termination 90 days in advance, Anthem has not notified its members of this change. Instead, it has publicly stated that the agreement is in effect an additional 90 days or until December 31, 2006 unless a new agreement is reached beforehand. We continue to negotiate and are optimistic that things will be resolved fairly so that there is no disruption of care for patients.

In most cases, this means that patients covered by Anthem Blue Cross Blue Shield insurance will be responsible for their out-of-network deductibles after December 31, except for patients who are being treated for ongoing or recurring treatments. Patients with questions about the coverage should check with their plan for specific coverage amounts.   

It pains us that we have been put in this position by Anthem Blue Cross Blue Shield.  We recognize that this is very disruptive for patients, employees and our community.  It is important to know that for the welfare of the hospital and the community we serve, the hospital cannot continue to accept a rate of reimbursement that is not sustainable to provide quality patient care.  Our rate of reimbursement is so far below what other hospitals receive that the hospital can no longer afford to treat patients covered by their current contract.  We are your hospital, and we take very seriously anything that prevents patient access to care; we would not take these steps if they were not absolutely necessary.  

SLU Hospital is seeking reimbursement from managed care partners that are at rates similar to what they reimburse other hospitals our size in St. Louis.  The hospital’s financial health contributes to the overall health of the hospital.  Currently, Anthem Blue Cross Blue Shield is the lowest managed care payer of all of SLU Hospital’s managed care contracts, even though we provide Level 1 trauma care and highly specialized services to Anthem Blue Cross Blue Shield patients in Missouri and Illinois.  

We remain committed to negotiating this contract in good faith with the best interest of the patient in mind.  Typically, hospitals and their managed care partners are able to resolve contract negotiations with little or no disruption to patients and the community.  It is unfortunate that Anthem Blue Cross Blue Shield would not cooperate and we were left with no choice but to end the agreement.     

In response to the Anthem Blue Cross Blue Shield notice, we are disheartened to learn our patients will be further impacted by the decision made by Anthem’s HealthLink plan to terminate their HMO/PPO and worker’s compensation coverage for treatment at Saint Louis University Hospital, effective December 31, 2006.    

We are committed to providing health care for all and we salute other managed care companies that recognize the importance of teaching hospitals – such as Saint Louis University Hospital – that train tomorrow’s physicians, particularly with the compelling shortages we face.   We will keep you updated on our negotiations.  

What you can do

We need your support.  Please contact Ruth Meyer Hollenback, Regional VP of Anthem Blue Cross Blue Shield in Missouri at (314) 923-4999 or hollenbr@bcbsmo.com to ask that they negotiate with our hospital in a fair and reasonable manner so that we can continue to serve the community.