Despite concerns of a pullout by the primary provider of the state's discount health insurance for low-income families, parents actually will get a choice with the addition of a second provider.

KidCare, which covers 1,300 children in the Florida Keys, is adding UnitedHealthcare as an insurer, which sparked rumors that it was replacing Blue Cross and Blue Shield of Florida (BCBS).

"BCBS is not leaving Monroe County," said Jennifer Kaiser Lloyd, the chief external affairs officer for the Florida Healthy Kids Corp., one in a coalition of state and federal agencies that promote and manage the insurance. "Healthy Kids is adding UnitedHealthcare as another insurance provider to give parents more choice in all 67 counties in the state."

The Florida Healthy Kids Council, a 13-member board of directors consisting of various state health officials, plans to approve UnitedHealthcare's addition Thursday, Lloyd said.

Keys health care providers were particularly worried that Blue Cross was opting out because United reimburses doctors 10 percent less, said Kelly Malone of East Coast Medical Services, a company that bills insurers on behalf of 13 doctors in the Keys.

"Reimbursements are going to be lower under United," Malone said. "While Blue Cross pays up to 45 percent of the bill, United pays only Medicaid rates, or 35 percent maximum. It could put doctors in a tough position financially."

That sparked concerns that doctors would accept KidCare insurance underwritten only by Blue Cross Blue Shield, leaving families with few places to go. That is not the case, Lloyd assured.

Florida's request for proposals for a second insurer required companies to meet specific requirements.

"They had to show they had a network of doctors in the Keys," Lloyd said. "We made sure that Key West physicians were on the list because I know how long the Keys are; we didn't want people having to drive up the Keys to find a physician."

United will cover the same services and charge the same premiums as Blue Cross does, Lloyd said.

Services include care provided by: doctors, nurses, hospitals, clinics, laboratories, dentists, optometrists, psychiatrists, podiatrists, chiropractors, physical therapists and medical transporters. Also covered are X-rays, prescriptions, immunizations, preventative care, medical equipment and supplies, and mental health and substance abuse services.

Individual physicians and medical billing companies must negotiate their reimbursement rates, Lloyd said.

Parents still need to verify with their health-care provider, Monroe County Health Department spokesman Chris Tittel said.

"Parents should call their pediatricians to see if they're still taking KidCare," he said. "They probably do, but everybody needs to check."

The Health Department, which does not have a pediatrician on staff, urges parents to take advantage of the subsidy, which costs between $15 and $20 a month, depending on the number of children to be covered.

"Any discount program for kids will give a break to families, especially in an economy where people are trying to make ends meet," spokesman Chris Tittel said. "It's an opportunity to cut down on normally expensive insurance to protect kids."

The Florida Children's Health Insurance Study of 2007 counted 394,560 children in the state who are still uninsured.

jguerra@keysnews.com