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2016-199
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Last modified
12/7/2016 1:25:50 PM
Creation date
12/7/2016 1:25:49 PM
Metadata
Fields
Template:
Official Documents
Official Document Type
Amendment
Approved Date
12/06/2016
Control Number
2016-199
Agenda Item Number
8.D.
Entity Name
Blue Cross and Blue Shield of Florida Inc.
Subject
Amendment to Adminstrative Services Agreement
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A TRUE COPY <br /> CERTIFICATION ON LAST PAGE <br /> J.R. SMITH, CLERK <br /> a. Member Liability Calculation <br /> Unless subject to a fixed dollar copayment, the calculation of the member liability <br /> on claims for covered healthcare services will be based on the lower of the <br /> participating provider's billed covered charges or the negotiated price made <br /> available to Florida Blue by the Host Blue. <br /> b. Employer Liability Calculation <br /> The calculation of Employer liability on claims for covered healthcare services <br /> processed through the BI ueCard Program will be based on the negotiated price <br /> made available to Florida Blue by the Host Blue (under the contract between the <br /> Host Blue and the provider). Sometimes, this negotiated price may be greater for a <br /> given service or services than the billed charge in accordance with how the Host <br /> Blue has negotiated with its participating healthcare provider(s) for specific <br /> healthcare services. In cases where the negotiated price exceeds the billed charge, <br /> Employer may be liable for the excess amount even when the member's deductible <br /> has not been satisfied. This excess amount reflects an amount that may be <br /> necessary to secure (a) the provider's participation in the network and/or (b) the <br /> overall discount negotiated by the Host Blue. In such a case, the entire contracted <br /> price is paid to the provider, even when the contracted price is greater than the <br /> billed charge. <br /> 2. Claims Pricing <br /> Host Blues determine a negotiated price, which is reflected in the terms of each Host <br /> Blue's provider contracts. The negotiated price made available to Florida Blue by the <br /> Host Blue may be represented by one of the following: <br /> (i) An actual price. An actual price is a negotiated rate of payment in effect at the <br /> time a claim is processed without any other increases or decreases; or <br /> (ii) An estimated price. An estimated price is a negotiated rate of payment in effect at <br /> the time a claim is processed, reduced or increased by a percentage to take into <br /> account certain payments negotiated with the provider and other claim- and non- <br /> claim-related transactions. Such transactions may include, but are not Ii mited to, <br /> anti-fraud and abuse recoveries, provider refunds not applied on a claim-specific <br /> basis, retrospective settlements and performance related bonuses or incentives; or <br /> (iii) An average price. An average price is a percentage of billed covered charges in <br /> effect at the time a claim is processed representing the aggregate pay ments <br /> negotiated by the Host Blue with all of its healthcare providers or a similar <br /> classification of its providers and other claim- and non-claim-related transactions. <br /> Such transactions may include the same ones as noted above for an estimated <br /> price. <br /> The Host Blue determines whether it will use an actual, estimated or average price. The <br /> use of estimated or average pricing may result in a difference (positive or negative) <br /> between the price Employer pays on a specific claim and the actual amount the Host <br /> Blue pays to the provider. However, the BlueCard Program requires that the amount paid <br /> by the member and Employer is a final price; no future price adjustment will result in <br /> 20160629 2 <br />
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