Regional Medical Center, a 276-bed hospital in Anniston, plans to sever its contract with Blue Cross and Blue Shield of Alabama over how much money Blue Cross reimburses the hospital, according to the Anniston Star.

Although the severance was announced last week, effective Sept. 12, talks are ongoing.

Greg Kernion, chairman of the RMC board, said on Monday the hospital was still in informal talks and there’s a possibility full negotiations may begin again.

The Star reports that RMC officials have said Blue Cross should pay more for the hospital’s services to match what the insurer pays other area hospitals. But Blue Cross has said it won’t increase reimbursements because it would then be forced to raise premiums.

Blue Cross, with about a 90 percent market share, is by far Alabama’s largest health insurer. United Healthcare is a distant second.

(al.com/www.al.com/Anniston Star/www.annistonstar.com)