BCBSM opposes demands for price hikes of 44 percent
DETROIT, March 4, 2026 /PRNewswire/ — Blue Cross Blue Shield of Michigan is beginning a process of informing its commercial (non-Medicare) customers and members that Michigan Medicine will be locking them out of access to its system of hospitals, outpatient centers and physicians starting July 1. The health system notified Blue Cross of its decision by letter on March 2 following a demand for a 44 percent increase in payment that Blue Cross opposed in ongoing contract negotiations. Medicare and Medicaid members would not be impacted if the system leaves the Blue Cross network for commercial members.
“It’s disappointing that Michigan Medicine has put its patients in the middle of our negotiations,” said Andrew Hetzel, vice president for Corporate Communications at BCBSM. “Causing people to worry about their health care is no way to win an argument over money.”
Blue Cross rejects public statements by Michigan Medicine that Blue Cross proposals in negotiations would amount to a reduction in payment.
“Our negotiations with Michigan Medicine have centered on the system’s demands for significantly more money – even though they are a wealthy system that already charges the highest prices in the state,” Hetzel said. “Blue Cross’ desire is to maintain the affordability of care and coverage – and we desire to partner with Michigan Medicine to those ends. We have respectfully presented offers to Michigan Medicine that pay them more money via sustainable annual rate increases beyond what they charge today – but they continue to demand too much more. Families and employers are struggling with high health insurance costs. Our next contract must be responsive to the affordability concerns of the people and employers who pay for health care. This is our goal – to arrive at a reasonable, responsible and affordable contract with Michigan Medicine that maintains access to care for our members.”
View original content:https://www.prnewswire.com/news-releases/blue-cross-blue-shield-of-michigan-informs-customers-and-members-of-michigan-medicines-decision-to-lock-blue-cross-members-out-starting-july-1-302704568.html
SOURCE Blue Cross Blue Shield of Michigan
