Blue Shield is continuing to negotiate in good faith with the University of California health system (UC) and Hoag Clinic and facilities (Hoag) to reach agreements that ensure members continue to have access to the system at a reasonable cost and reimbursement rates that are sustainably affordable.
This update is to inform you of contract extensions and member communications for both UC and Hoag while negotiations continue:
Hoag
Medicare agreements have been extended through December 31, 2025, and we will inform members with a Hoag PCP of the update with letters mailed on June 10, 2025.
Commercial agreements are extended through July 15, 2025. As this does not substantively change the member experience, we do not plan for commercial member letters regarding the extension at this time.
UC
The contract end date has extended, slightly, to July 9, 2025.
Required DMHC communications to HMO members will be mailed June 10, 2025.
Medicare facility termination letters will be mailed June 10, 2025.
Health plans like Blue Shield negotiate with health systems to ensure fair prices for patient care. The goal is to keep members’ premiums low with reasonable out-of-pocket costs.
As a nonprofit health plan, Blue Shield is committed to holding network providers accountable to help ensure that all Californians have access to high-quality health care at an affordable price. Blue Shield stands by this commitment when negotiating reimbursement rates with administrators.
We will continue to keep you informed with updates.