Wenatchee, Wash.-based Confluence Health announced Aug. 3 it will not renew its contract with Premera Blue Cross.
"As you may have heard, Confluence does not have plans to renew its contract with the Premera provider network due to price disputes and Premera's unwillingness to recognize the vital role Confluence Health plays in the communities we serve," the health system's CEO-elect, Doug Wilson, MD, said in an open letter to patients.
The contract is scheduled to terminate Jan. 31 of next year.
"For Premera, we do not believe we've reached an impasse. We fully believe we can reach an agreement with Confluence that provides the people we serve with affordable, high-quality healthcare," a spokesperson for the payer told Becker's in an email Aug. 6. "And to clear up a few misconceptions — the first, is the notion that Premera doesn't want to pay its fair share. That's simply not true. The truth is that Confluence is the largest multi-specialty health system in North Central Washington with no true competition within 100 miles. On average, Confluence Health's hospital costs are higher than all other systems in Eastern Washington. There are 12 other health plans that compete aggressively with us in the market. We work hard to provide our members with access to affordable, high-quality healthcare. And we urge Confluence to return to the negotiations table."