Michigan Medicine

We Stand Behind Our Members

Our Goals: Fair Payment and Affordable Health Insurance

The University of Michigan Health System (Michigan Medicine) has chosen not to participate in the Blue Cross Blue Shield of Michigan provider network as of July 1 – unless a new payment contract is signed by that date.

As Blue Cross negotiates with Michigan Medicine, we stand behind you – the people and employers who ultimately pay for the cost of our health care system through your health insurance premiums. In our next contract, we seek a balance between fair payments for them, and affordable health insurance for you.

Michigan Medicine is already the highest-priced system in the state. We show examples below. This is relevant to our negotiations, especially as Michigan Medicine seeks price increases of up to 44% in their next contract. Ultimately, any additional higher costs for services like these will flow into the health insurance premiums that you pay.

We want Michigan Medicine in our network, and we value its role as a leading academic medical center. But affordability matters, and we need Michigan Medicine to work with us to keep your health care affordable.

We remain determined to continue negotiating a new contract that promotes both access and affordability, and we will stand behind our customers and members every step of the way. If necessary, this support will include continuity of care services for members with critical illnesses and helping members find other quality providers should Michigan Medicine make good on its notice that it is choosing to leave our network on July 1.

The Facts About Our Negotiations with Michigan Medicine

You don’t deserve to be put in the middle.

Michigan Medicine’s decision to lock you out, and their ongoing PR campaign, put you in the middle.

Michigan Medicine requested a 44% increase in payment from Blue Cross.

They deny it – but we are showing you real numbers from their proposal below. We obviously cannot accept this level of increase because of the destabilizing impact it would have on your health insurance costs.

Blue Cross has proposed to increase payments to Michigan Medicine.

We have proposed a contract that would increase payments to Michigan Medicine every year – just not as much as their 44% demand. We soundly reject Michigan Medicine’s claims that we are cutting their payments.

Michigan Medicine is the most expensive health system in the state.

Below, we provide examples of how much more they charge for services than other hospitals in southeast Michigan.

Michigan Medicine’s costs add up.

You already pay much more for nearly 90 percent of their total services.

Blue Cross wants Michigan Medicine in our network.

But we must contract with them at prices that are affordable for the people and employers we serve.

Michigan Medicine demands 44% more from you.

Michigan Medicine is already the highest paid system in the state.

For 87 years, Blue Cross Blue Shield of Michigan has provided our members with access to quality medical care delivered by dedicated doctors and nurses at hospitals across Michigan – including the University of Michigan Health System. Blue Cross will never waver from the deep respect we hold for Michigan’s health care professionals. But today, health care costs are rising much faster than inflation. This is putting enormous strain on the budgets of families and employers. Blue Cross has an important role to play – we are your representative as we negotiate payment terms with providers. Every dollar paid to a hospital system ultimately flows into your health insurance premiums – and we have a responsibility to make sure rising costs don’t make your health insurance unaffordable.