Texas Lobby News: Employees Retirement System of Texas Changes Healthcare Providers

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Texas Lobby Group News

United HealthCare Awarded Big Texas Contract

In February one of our clients – United HealthCare – was awarded the Texas contract to provide the administrative side of health care processing and claims for Texas employees. United HealthCare will provide access to its network of hospitals, physicians, and other providers for HealthSelect of Texas, our state healthcare plan.

Blue Cross Blue Shield of Texas had held this contract for three decades. While Blue Cross has complained that the switch was due to political influence, employee advocacy groups are satisfied that the decision was made on sound fiscal grounds. The Dallas Morning News is reporting that United HealthCare will save Texas 41 million dollars a year.

The Austin American Statesman quotes Derrick Osobase, legislative and political director for the Texas State Employees Union as stating that the ERS has a good record of making decisions like this only after a rigorous evaluation process.