Atlanta-based Piedmont Healthcare and Blue Cross Blue Shield of Georgia shook hands to resolve a weekslong contract lapse that left hundreds of thousands of patients in out-of-network limbo.
The two parties' previous contract expired March 31. The handshake agreement extends the old contract until May 31, and will allow BCBSGA members who sought out-of-network treatment at Piedmont during the debacle to be billed at in-network rates. The parties also agreed to a new three-year contract, set to take effect June 1.
"Preserving the relationship between the patient and their preferred healthcare provider has been our number one goal during this entire negotiation," Piedmont said.
The decision comes after Republican Georgia Gov. Nathan Deal gave the two sides an ultimatum: reach an agreement by April 17 or face "executive action." During the lapsed contract, Georgia and the University System of Georgia, based in Atlanta, said they would absorb out-of-network claims for 30 days for about 600,000 state employees affected by the spat.
"We sincerely appreciate Governor Deal's assistance in helping bring the parties together and creating a higher sense of urgency toward resolution," Piedmont said.
BCBSGA spokesperson Colin Manning confirmed with Becker's Piedmont has a handshake agreement with BCBSGA.
Editor's note: This article was updated April 18 at 12:33 p.m. CT.
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