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With two weeks until negotiations deadline, BayCare and Florida Blue stuck in deadlock



Just two weeks remain ahead of the Oct. 1 contract negotiations deadline between Florida Blue and BayCare. If an agreement is not reached, BayCare health services will be removed from Florida Blue’s network, potentially leaving thousands without local coverage.

According to BayCare representatives, though negotiations are ongoing, little progress has been made. Despite this, the company hopes to reach an agreement before the current contract expires on Sept. 30.

“BayCare continues to negotiate with Florida Blue and we sincerely hope to reach an agreement on a fair contract prior to Sept. 30, the date the current contract sunsets, to protect patients’ ability to continue choosing the hospitals, laboratory services, and physicians they know and trust at BayCare,” BayCare said in an emailed statement to The Capitolist. “Our goal is to negotiate a responsible agreement with Florida Blue that offers fair reimbursement for the care our physicians and nurses provide and ensures BayCare can continue to attract and retain caregivers to deliver the high-quality care for our patients and communities in the future.”

According to a Florida Blue media alert, BayCare initiated discussions, demanding a double-digit percent increase for hospital services and a two-to-three-fold increase for its doctors, imaging, and accessory services.

This, according to the insurer, would result in increased service and premium expenses. More than 85,000 Florida Blue customers who have received care from the BayCare Health System in the previous six months will receive notes in the mail this week advising them that BayCare may opt-out of Florida Blue’s networks.

BayCare claims that due to inflation and the subsequent rising costs, labor and supply prices have increased without a commensurate share of revenue being passed on to providers and practitioners.

“As our doctors and nurses have worked hard to save lives throughout the pandemic, labor and supply costs have risen substantially. Last year, it cost us 20 percent more to care for each patient than before the pandemic. And costs have increased more in 2022. We are simply asking Florida Blue to agree to a fair contract that puts patients first,” the statement continues. “Every year, Florida Blue asks its members and employers to pay more for their health insurance coverage, but those increases are not proportionately shared with health care providers like BayCare.”

BayCare is a leading health provider across Tampa Bay and Southwest Florida, treating hundreds of thousands of patients in 2021 as well as performing close to 90,000 surgeries.

Should an agreement fail to be reached, Floridians that have only BayCare facilities nearby could be forced to pay out-of-pocket costs for basic health services.