Alabama Psychiatric Services

Lawsuit says Blue Cross to Blame for Closure of Mental Healthcare Provider

When Alabama Psychiatric Services closed in February, it sent shockwaves through the state’s mental health community. The company provided mental healthcare to about 28,000 people in locations throughout Alabama and employed more than 250 medical professionals. APS blamed the sudden closure on Blue Cross Blue Shield of Alabama, but a lawsuit filed in Jefferson County Circuit Court in May, and amended last month, offers more details on the specific allegations.

Mental Health Commissioner Jim Perdue On State’s Shrinking Mental Health System

State legislators still haven’t figured out how to fix a $200 million budget deficit for the upcoming year – and time is running out. Many in Alabama who work in mental health worry that public services could be on the chopping block again, after years of cuts and the closure of three state psychiatric hospitals. Perhaps most concerned is Alabama’s new Mental Health Commissioner, Jim Perdue, who was sworn in this summer. He says with more budget cuts, mentally ill Alabamians may end up in jail rather then getting the help they need.

Mental Healthcare Community Worries More Cuts are on the Way

When Alabama Psychiatric Services suddenly closed in February, 28,000 people who depended on the company for mental healthcare found their treatment thrown into chaos. APS closed after the company said it couldn’t reach an agreement with the state’s largest health insurance company Blue Cross/Blue Shield of Alabama. A similar situation in Florida has some mental healthcare professionals wondering if more closures are possible or if something illegal is happening.