Blue Cross Announces Physician Payment Increase

Physicians contracting with Blue Cross Blue Shield of Massachusetts (BCBSMA) will see an aggregate 3 percent increase in their payments for services rendered, beginning September 1. The new reimbursement rates, marking the seventh consecutive year of increased physician reimbursements, will be implemented across all types of Blue Cross coverage, including indemnity, HMO, point of service (POS), and preferred provider organization (PPO) plans.

Specialty-specific fee schedules will be mailed to individual physicians this summer, according to John Fallon, M.D., BCBSMA senior vice president and chief physician executive. Physicians are encouraged to review their specialty-specific information to determine the effect the new fee schedule will have on their individual practice.

Blue Cross also expanded its performance-based quality programs, which now offer eligible physicians the opportunity to earn an additional 3 to 10 percent on top of fee-for-service payments. BCBSMA expects to pay more than $21 million to primary care physicians for their 2005 participation in this incentive program. Blue Cross will work closely with the MMS and specialty societies to develop future incentives.

Physicians with questions or suggestions regarding payment should contact their Blue Cross provider relations manager at (800) 316-2583.

– Dana Cooper