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Blue Shield Contract Nears Termination

Blue Shield Contract Nears Termination

The message below is from CalPERS Communications & Stakeholder Relations.

We wanted to update you on the potential contract termination between Blue Shield of California (BSC) and the University of California Health System (UC Health).

The current contract between BSC and UC Health expires on June 30, 2025. While negotiations continue, letters informing the roughly 20,000 CalPERS Blue Shield Access+ HMO members are required to be sent on May 1, 2025, informing them of a potential contract termination in accordance with Department of Managed Health Care (DMHC) regulations.

It is highly likely that those letters will need to be sent, beginning Thursday, May 1. No advance notice is required for the roughly 15,000 CalPERS Basic PPO members associated with UC Health, but a termination will obviously impact those members as well. We are actively working with BSC and UC Health to avoid a termination and will keep you updated on any additional developments.

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