Alaska’s largest health insurer reached a new agreement with the affiliates of the state’s largest hospital, preventing a disruption in patients’ provider networks.
Premera Blue Cross Blue Shield of Alaska announced the new agreement with Providence Medical Group Alaska, Providence Behavioral Medicine Group and Providence Imaging Center. The agreement, announced on Wednesday, is effective on Jan. 1, 2024, at the end of their current contracts.
“These new agreements allow our members to have peace of mind when they seek care from Providence providers across the state,” said Jim Grazko, Premera’s Alaska president, in a statement.
Ella Goss, chief executive of Providence Alaska, also commented on the agreement.
“We care deeply about the people we serve, and these agreements ensure our patients with Premera coverage will be able to continue receiving in-network care at Providence clinics after the new year,” Goss said.
Premera announced in November that the three Providence affiliates informed it that they planned on ending their contracts, though the two sides continued to negotiate.
Without an agreement, Alaskans with Premera insurance being treated by providers with the Providence affiliates would either have had to change providers or pay more for their health care.
Premera executives had emphasized that the network status of Providence Alaska Medical Center – the hospital itself – was never in doubt because the hospital had already reached an agreement on a new contract earlier this year.