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Phoenix Children's Hospital to lose in-network coverage for major insurance provider

Phoenix Children's Hospital officials have decided to leave the Blue Cross Blue Shield insurance network, leaving many patients uncertain about their care.

PHOENIX — The health insurance contract between BlueCross BlueShield of Arizona and Phoenix Children’s Hospital expires today. 

With no renewal agreement, that means the end of in-network insurance coverage for those patients insured by AZ Blue.

12 News got a statement from AZ Blue saying, “With Phoenix Children’s deciding to leave the network effective October 31, 2024, our priority is our members and their children who need care.

According to AZ Blue’s Chief Medical Officer, Dr. Cara Christ, this comes after no agreement was met regarding a 50 million dollar raise that would be a 10% increase for the next three years that AZ Blue wanted.

These locations will become out-of-network starting tomorrow meaning it will cost more for AZ Blue patients:

  • Phoenix Children’s Hospital Thomas campus
  • Phoenix Children’s Hospital Arrowhead campus
  • Phoenix Children’s Medical Group
  • Phoenix Children’s Pediatrics
  • Phoenix Children’s Urgent Care centers.

“We know we’re getting the best care around here and for them to not come to an agreement is a slap in the face,” Shelle Harman of Glendale said. “They obviously do not actually care about our family.”

Glendale’s Shelle Harman has a 10-year-old son Braxton who has a larger-than-life personality despite having a cyst on his brain and all down his spine and an autoimmune disorder. Braxton has 16 different doctors through Phoenix Children’s along with scheduled IVIG operations every 3-4 weeks to help him live that he’s been doing for the past six years.

“There’s no other hospital in the area that we would be able to find all those 16 doctors,” Shelle added. “We will have to try to find a new immunologist. And for those kind of specialty doctors, you’re not going to be able to get in for six months to a year.”

Now Shelle is considering going to other states for care because no agreement was made and it’s cheaper than paying out of network costs.

“Braxton and I would have to travel out of state to go to whatever doctors we can find,” Shelle said. “I think California and Texas Children’s is really good or Boston or Seattle would be our options for that kind of care. Cardon Children’s Medical Center and Banner Children’s doesn’t even rank for a children’s hospital.”

Care will continue for AZ Blue patients currently in treatment or with already approved and scheduled surgeries at Phoenix Children’s. Additionally, the emergency room will still be covered as in-network.

We’re still waiting to hear back from Phoenix Children’s about why an agreement couldn’t be made and what could be next for these patients.

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