State Employee Health Plan

Blue Cross Blue Shield of Kansas and Lawrence Memorial Hospital Contract Negotiations

October 25, 2021

Oct 25, 2021, 14:56 PM by Courtney Fitzgerald

Dear SEHP Members and Benefits-Eligible Employees,

Blue Cross and Blue Shield of Kansas (BCBSKS) is currently engaged in ongoing contract negotiations with Lawrence Memorial Hospital (LMH) to be included as a Network provider for 2022.  Provider networks are developed by the vendor, in this case, BCBSKS. If an agreement cannot be reached, LMH would be a Non Network provider for BCBSKS members in 2022. As a Non Network provider, BCBSKS members would receive the Non Network benefit level for services and have higher Out of Pocket costs for non-emergency services received at LMH.

State Employee Health Plan staff are in contact with BCBSKS about this situation. BCBSKS sent out a communication regarding the contract negotiation with LMH to current members.  While we are hopeful this matter will be rectified, it is unlikely this will happen before the 2022 Open Enrollment period ends.  

To ensure SEHP members have an adequate opportunity to select a health plan they are confident in, Open Enrollment for Active Employees and COBRA members will be extended through Friday, November 5th. Current Direct Bill members will have until November 15th to make their 2022 elections. Members with a Medicare Supplement plan through BCBSKS will not be impacted by the contract issue.

As a reminder, the SEHP is contracted with both Blue Cross and Blue Shield of Kansas and Aetna to administer the health plans.  Both plan networks are available for your review on the SEHP website.

We will keep you updated as we learn more about the status of the contract between Blue Cross and Blue Shield of Kansas and Lawrence Memorial Hospital.

Should you have any questions regarding the contract negotiation, you may reach Lawrence Memorial Hospital at 785-505-5000 and Blue Cross and Blue Shield of Kansas at 1-800-332-0307.


Thank you,

Janet Stanek, SEHP Director

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