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Center for Health and Biosciences

Opinion: Cutting CHI St. Luke’s may raise Blue Cross Blue Shield insurance costs

Vivian Ho

Opinion: Cutting CHI St. Luke’s may raise Blue Cross Blue Shield insurance costs.

The parent company of CHI St. Luke's Hospital could terminate its contract with Blue Cross Blue Shield of Texas over a pricing dispute. In an op-ed for the Houston Chronicle, health economist Vivian Ho writes that "CHI St. Luke’s may be justified in its demand for a rate increase this year, because it charges so much less than its competitors that it cannot cover its costs. ... Removing CHI St. Luke’s from the Blue Cross Blue Shield network could raise the average cost per insuree as patients seek care from the former’s higher-priced competitors."  Read more at the Houston Chronicle