Blue Cross Blue Shield (BCBS) of Michigan plans to expand its national network of durable medical equipment (DME) providers by linking provider networks with BCBS plans in other states, Crain’s Detroit Business reports.
Specifically, BCBS expansion plans are geared toward active autoworkers, and as part of the changes, BCBS will not renew a contract for DME claims processing service for autoworkers conducted by local companies Binson’s Home Health Care Centers and Wright & Filippis.
While the claims contracts will not be renewed for these local providers, the companies also participate in other BCBS provider networks for DME in other states.
The decision from BCBS aspires to reduce costs, increase customer convenience and comply with regulations of the Patient Protection and Affordable Care Act, according to a BCBS spokeswoman cited by Crain’s.
By January 1, the Affordable Care Act will require Blue Cross to aggregate total costs per member for a variety of services, including, medical, surgical, pharmacy and DME.
A representative from the UAW, which represents autoworkers, said the changes will not affect autoworkers.
The Blue Cross national DME network looks to have 15,000 providers, compared with its current “out-of-state network” of between 3,000 and 5,600 providers, notes Crain’s.
Written by Jason Oliva