Update on negotiations with Blue Cross and Blue Shield of Texas

To the UT Southwestern Community:

Despite months of negotiations, Southwestern Health Resources has been unable to reach an agreement with Blue Cross and Blue Shield of Texas (BCBSTX) on fair payment for health care covered by its insurance plans. As a result, UT Southwestern, Texas Health Resources, and providers affiliated with Southwestern Health Resources will be considered out of network for most BCBSTX plans starting today, April 1, 2025.

We want to make clear to members of our campus community that individuals on the UT SELECT plan will continue to be eligible to receive care from UT Southwestern providers at UT Southwestern facilities under a UT System agreement. However, Texas Health Resources and other providers in the Southwestern Health Resources network will not be covered under this arrangement and will be out of network for UT SELECT.

UT CARE participants, including retirees from the UT System and Texas A&M System, will continue to have access to care at UT Southwestern at in-network rates, regardless of the outcome of these negotiations. This is because under the UT CARE plan, which is an “open access” or “passive” Preferred Provider Organization (PPO), you can visit any provider who: (1) accepts Medicare; (2) agrees to see you as a patient; and (3) agrees to submit claims to BCBSTX. These providers do not need to be part of any Blue Cross and Blue Shield network.

For other patients, BCBSTX’s commercial, Medicaid, Medicare Advantage, and Blue Advantage HMO Marketplace plans will be out of network. The MyBlue Health Marketplace remains in network until March 31, 2026.

Patients can contact BCBSTX during this transition, and we will also help guide affected patients to in-network providers as needed. Some BCBSTX members, including those who are pregnant or being treated for a disability, acute condition, or life-threatening illness, may qualify for continuity of care. Patients must submit a Request for Continued Access to Providers form to BCBSTX to request a temporary extension of in-network coverage if they wish to continue their treatment plan with their current provider. Patients should send this paperwork to the fax number on the form. They can also call the customer service number on their member ID card for answers to questions. Texas Health and UT Southwestern emergency rooms will remain accessible to patients regardless of our contract status with BCBSTX.

During this transition period, we will continue to negotiate with BCBSTX in the hope of finding opportunities that can provide equitable reimbursement to cover the rising costs of providing quality care.

We will keep you informed of further developments.