The United States District Court for the District of New Jersey, following a hearing on July 24, 2008, has approved a $250 million settlement in the matter of plan members versus Health Net, Inc. 

The case involved three separate actions that were combined by the court.  All involved members of a health benefits plan and their right to reimbursement for health care services from providers that are out-of network.  Plaintiffs alleged that Health Net relied on improper means for determining usual, customary and reasonable rates for out-of network services.

Millions in damages to members and providers will be paid.  In addition issues of patient liability for indebtedness will be addressed, and business practices (including claims processing) will be overhauled.

There are similar cases pending against United Healthcare, Oxford, Aetna, CIGNA and Wellpoint.

SOURCE: Pomerantz Haudek Block Grossman & Gross LLP

Pomerantz Haudek Block Grossman & Gross LLP

100 Park Avenue

New York, NY 10017-5516

http://www.pomerantzlaw.com/index.cfm

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This entry was posted by Adam V. Russo on Tuesday, July 29th, 2008 at 1:32 pm and is filed under 3rd, ERISA. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.