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News release
For immediate release
Feb. 22, 2018
HCA announces administrator for Uniform Medical Plan starting in 2020
Regence BlueShield awarded
new contract to serve UMP members
OLYMPIA – The Health Care Authority (HCA) today announced a new contract to provide
enhanced services to the nearly 200,000 public employees enrolled in Uniform
Medical Plan (UMP). UMP is the state’s self-funded medical option for eligible members enrolled in
the Public Employees Benefits Board (PEBB) Program.
After a two-year competitive process, HCA selected Regence BlueShield as the
third-party administrator to serve UMP members under a new 10-year contract
starting January 1, 2020. In addition to the administrative functions required
of a third-party administrator, such as claims processing and maintaining the
provider network, the contract includes an enhanced focus on improved care
quality and customer experience.
The contract will run through Dec. 31, 2029, with an option to extend seven
more years.
HCA added many enhancements to the new contract to improve members’
experience and quality of care, including:
- Improving the website
user experience for members, including provider search tools.
- A payment structure that
pays providers based on their ability to meet quality metrics rather than
simply per service or treatment.
- Participation in multi-payer
initiatives and data-sharing agreements to improve health delivery and quality
of care, and lower costs.
- Introducing a commercial accountable care organization (ACO) offering among
Regence’s insurance offerings to its other customers in Washington’s health
insurance market. The offering will adopt the value-based payment structure
that pays providers based on quality (similar to UMP Plus offered through the
PEBB Program).
“This is a major step in our efforts to move toward
paying for quality care, rather than simply paying for quantity of care,” said
HCA Director Sue Birch. “Regence will be an excellent partner as we continue
transforming our health care system to one that provides better care and better
health at a lower cost.”
“We are proud
to have the opportunity to continue to serve Washington state employees and
partner with the HCA to support a healthier Washington and deliver innovative
health care solutions to employees and their families,” said Tim Lieb, president
of Regence BlueShield. “Together, Regence and the HCA are well-positioned to
transform health care and deliver true Value Based Care—for Regence, 2020
starts today.”
The HCA’s current contract with Regence BlueShield as UMP’s third-party
administrator expires Dec. 31, 2019.
The HCA may also use Regence BlueShield to serve as a third-party
administrator for UMP under the School Employees Benefits Board (SEBB) Program, which will
begin January 1, 2020 under legislation passed in 2017. The SEBB Program will
cover eligible employees of Washington K-12 school districts, educational
service districts, and charter schools. The SEB Board would need to authorize UMP as a medical plan option for
eligible SEBB members.
Background
The PEBB Program covers eligible employees and retirees of state agencies
and higher-education institutions, as well as K-12 school districts and
political subdivisions that choose to purchase PEBB insurance coverage.
UMP currently offers three plans to eligible PEBB members: UMP Classic, UMP
Consumer-Directed Health Plan (CDHP) with a health savings account, and UMP
Plus.
Visit www.hca.wa.gov/pebb to learn more.
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Media contact
Amy Blondin, Chief Communications Officer
360-725-1915 (office)
360-688-0131 (cell)
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