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JACKSON, MS – Today, ten Mississippi hospitals have filed a lawsuit against Blue Cross Blue Shield of Mississippi alleging the insurer wrongfully reduced inpatient payments it was obligated to make for medical services rendered to patients. The lawsuit, which was filed in the Circuit Court of Hinds County, Mississippi, alleges Blue Cross Blue Shield of Mississippi breached its contracts with the hospitals by failing to pay the hospitals in accordance with the terms of those contracts.

The hospitals also contend Blue Cross Blue Shield acted in bad faith by slipping payment changes into its so-called Policy Manual instead of attempting to negotiate those payment changes. The lawsuit seeks to recover more than $13,000,000 in alleged underpayments by Blue Cross Blue Shield of Mississippi plus declaratory relief preventing the insurance company from unilaterally changing the terms of its contracts with hospitals.

Bill Williams, Division CEO for these hospitals stated, “The people of Mississippi need hospital services and we are here to render those services. But it is unfair for insurers like Blue Cross Blue Shield to not honor the amount they agreed to pay. That may benefit the insurance company and its executives, but it harms our hospitals and the communities we serve.”

The hospitals which filed the suit are Central Mississippi Medical Center in Jackson, Biloxi Regional Medical Center in Biloxi, Crossgates River Oaks Hospital in Brandon, Gilmore Regional Medical Center in Amory, Madison River Oaks Medical Center in Canton, Natchez Community Hospital in Natchez, Northwest Mississippi Regional Medical Center in Clarksdale, River Oaks Hospital in Flowood, Tri-Lakes Medical Center in Batesville and Woman’s Hospital in Flowood.

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  • JOE


  • Jennifer S. Wilson

    How ironic and unfortunate that this law suit has only come about 15 years after I personally reported a similar situation to the Federal Bureau of Investigations in Jackson, Mississippi, after wrongfully being terminated simply because I had refused to dispose of policy files, which contained policies made by the Medical Director and/or Medical Advisory Panel of Blue Cross & Blue Shield over a number of previous years. Actually, I didn’t REFUSE, but I did put in writing that it would take someone in authority, beyond myself as a mere a secretary, to do so. Unfortunately, I had previously disposed, by the request of Miss Carol Berry, ALL individual master contracts, which essentially angered the nursing staff; not toward Miss Berry,but toward me. These “MASTER CONTRACTS” were private companies, which utilized Blue Cross & BlueShield as Administrative Services Only. In other words, the contracts were to be specifically administered according to the individual company’s policies. Miss Berry requested that I dispose of those contracts and I was informed that all future claims would be paid by ONE “MASTER CONTRACT.”

  • Ed

    Until states like Alabama and Mississippi allow more insurance companies to work in the states this is the type of care we will get. Sad now we have ObammyCare…..doesn’t even come with a jar of KY jelly, just bend over….smile and get ready……(your democrat government at work).

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