Tenet Healthcare and Blue Cross Remain In Impasse Over Rates

With two days left before their contract expires, Blue Cross Blue Shield, Georgia's largest health insurer, and Tenet Healthcare, one of Atlanta's largest hospital systems, remain deadlocked over reimbursement rates.

If the impasse goes unresolved, many Atlantans might have to look for a new hospital or face higher co-pays.

The five metro Atlanta hospitals Tenet operates include Atlanta Medical Center, North Fulton Hospital, and South Fulton Medical Center.

Atlanta-based health consultant Charles Goldberg says if Tenet and Blue Cross aren't able to reach a deal, those with Blue Cross insurance would be the ones most affected.

"It's similar to whether or not you're going to be able to see your favorite baseball team on TV, but the stakes are much higher, and the members are caught up in the middle of all this," said Goldberg.

The tension has been public. Tenet this month took out a full page newspaper ad and Blue Cross has been emailing members about the impasse.

A Tenet spokeswoman says negotiations are ongoing, but wouldn't elaborate on any details. Blue Cross couldn't be reached for comment.

Goldberg says Blue Cross probably has the upper hand, due to a period of consolidation and growth by area hospital systems, particularly in North Fulton.

"The health systems are looking for a larger growth strategy, looking to cover costs, ensure they have adequate occupancy," said Goldberg. "They may be more willing to negotiate on particular costs."

Tenet and Blue Cross have until February 1st to reach an agreement.