Gov. Chris Christie (R-N.J.) approved Horizon Blue Cross Blue Shield of New Jersey’s Omnia tiered network health plans in September 2015. To control spending, the plans offered members reduced prices for using preferred, or Tier 1, medical providers.
A group of 17 hospitals considered Tier 2 facilities filed suit to overturn the New Jersey Department of Banking and Insurance’s approval in December 2015, arguing the network plans force consumers to pay more to use Tier 2 facilities.
An appellate court upheld the department’s decision in June. The Supreme Courts actions Oct.1 mean the appeals court ruling stands.
Horizon CEO Robert Marino called it “another win for Omnia and for consumers seeking relief from skyrocketing medical bills.”
“We’ve said from the beginning this was about fair and open competition to keep costs down and quality high,” said Michael Maron, CEO of Holy Name Medical Center in Teaneck, N.J., one of the hospitals named in the lawsuit. “We will always be advocating for that on behalf of the communities we serve.”
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