Blue Cross, Nemours Foundation Reach Agreement for Continued Treatment at Alfred I. duPont Hospital for Children

Wilmington - Blue Cross Blue Shield of Delaware (BCBSD) and Nemours have reached an agreement to continue to provide coverage for children under Blue Cross Blue Shield plans at Alfred I. duPont Hospital for Children and by Nemours physicians located in Delaware. The current contract between Nemours and BCBSD had been scheduled to end on August 28.

The agreement came after face-to-face meetings between BCBSD and Nemours executives in Wilmington Monday, Tuesday and Thursday, with the participation of Insurance Commissioner Matt Denn and Deputy Insurance Commissioner Michael Vild as well as Dana Jefferson of the state Office of Management and Budget. A new letter of agreement was signed approximately 8 p.m. Thursday night in the Insurance Commissioner’s Wilmington office.

The new agreement between BCBSD and Nemours provides for treatment of Blue Cross Blue Shield members at duPont Hospital for Children and other Nemours facilities through the end of 2008, with terms for the extension of the agreement into 2009 and beyond at the option of both entities. The agreement covers reimbursement from BCBSD for hospital services and physician services, and resolves some areas of question that had arisen out of the existing contract. Some details of the new contract remain to be worked out, but the parties have reached an agreement that will allow for uninterrupted coverage of BCBSD members at the hospital.

Blue Cross Blue Shield of Delaware President Timothy J. Constantine said, “We are extremely pleased that our members can continue receiving care from Alfred I. duPont Hospital for Children and the Nemours physicians.  We believe that our agreement with the Nemours Foundation is fair to our 386,000 members – including nearly 284,000 Delaware residents – as well as to the hospital and its physicians. We are grateful to the Delaware Department of Insurance, Commissioner Denn, Deputy Commissioner Vild, and from the State of Delaware, director of the Office of Management and Budget Jennifer Davis and Dana Jefferson of that office for their assistance in helping to facilitate this agreement.”

“We are very pleased to have reached an agreement prior to the contract’s termination that enables us to continue caring for our patients. We appreciate the patience and support of the patients and their families throughout this stressful but necessary process,” Tom Ferry, Chief Executive Officer, duPont Hospital for Children. “We look forward to our continued relationship with BCBSD with which we have worked successfully for many decades.”

“This is good news for thousands of Delaware children – the most medically fragile children in our state – who will continue to get outstanding care at a world-class institution here in Delaware,” Commissioner Denn said. “I commend the leaders of both Nemours and BCBSD for coming to an agreement before the August 28 deadline.^”

Commissioner Denn said that, as a result of the agreement, he will withdraw subpoenas he issued to BCBSD Monday for information regarding a planned transition. He also said he will withdraw his requests that Attorney General Jane Brady to research the Nemours Foundation’s charitable trust and that Delaware Health and Social Services enact emergency regulations to require the hospital to continue accepting BCBSD members.