Capital BlueCross, Theranos agree to suspend lab services in Hampden Township

Lenay Ruhl//January 29, 2016//

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In response to government findings of clinical deficiencies at one of its labs, California-based Theranos agreed to Harrisburg-based Capital BlueCross’ request to suspend lab draws until further notice, according to a statement provided by Capital BlueCross.

“While we support Theranos’ vision of providing greater transparency and reduced pricing for lab work, our highest priority at Capital BlueCross is ensuring quality of care for our customers,” the insurer stated.

In a letter dated Jan. 25, the Centers for Medicare and Medicaid Services cited Theranos for five deficiencies at a laboratory in Newark, Calif., some of which “pose immediate jeopardy to patient health and safety,” according to reports by the Associated Press.

Theranos followed up with a statement on Jan. 27 indicating it is reviewing the report, but is already addressing many of the concerns.

“We are continuing to take corrective action and will submit a full plan of correction to CMS within days,” Theranos stated.

This fall, Capital BlueCross was monitoring stories published by the Wall Street Journal about challenges facing Theranos.

The articles, appearing in October, relied on sources such as doctors, nurses and former employees, some unnamed, claiming that Theranos’ blood tests are not as accurate as the company has advertised.

Sources in the stories also indicated that the company is using traditional lab methods, developed by others, instead of the new lab instrument, Edison, which it has developed as an alternative to traditional methods.

Capital BlueCross entered into an arrangement with Theranos in June to bring its lab services to Central Pennsylvania.

Following the recent findings by CMS, Theranos has assured Capital BlueCross that it is actively addressing issues from the report.

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