Judge blocks Blue Cross Blue Shield from ending hospital contracts

OKLAHOMA CITY (AP) – A judge has temporarily blocked an insurance company from ending its current contracts with several hospitals in rural Oklahoma.

Four hospitals asked for the temporary restraining order after suing Blue Cross Blue Shield. The hospitals allege the insurance company breached their contracts and planned to cut provider reimbursement rates.

The Oklahoman reports the lawsuit was filed on behalf of hospitals in Prague, Fairfax, Haskell and Drumright. The insurance company has declined to comment.

The lawsuit says the hospitals met with the insurance provider on Oct. 3 to discuss their contracts, but that the company has since ignored calls from the hospitals.

A court hearing in the lawsuit is scheduled for Friday.