CHA joins class action lawsuit against Blue Cross

[CAL/AAEM News Service]

CHA joins class action lawsuit against Blue Cross 

Source: AHA News Now (http://www.ahanews.com) 
Date: April 20, 2007


The California Hospital Association and the California Medical Association joined as
additional plaintiffs in a class action complaint against Blue Cross. Initially filed in
October 2006 by Coast Plaza Doctors Hospital, the complaint seeks to stop Blue Cross of
California, Blue Cross Life and Health, and their parent company, Wellpoint, Inc., from
denying health care claims by seeking to rescind patients insurance coverage after
patients received services. CHA said it joined the lawsuit because settlement
negotiations have broken down and litigation is now the only option available. "This is a
situation where hospitals have done all the right things - they have obtained the
appropriate authorizations from Blue Cross and in good faith have provided the necessary
care to patients," said CHA spokeswoman Jan Emerson. "And then, after the fact, Blue
Cross decides to rescind the coverage, leaving the hospitals with millions of dollars in
unpaid claims. That's just wrong. Hospitals should be paid for the care that has been
authorized and provided to Blue Cross patients." 


Cyrus Shahpar & Brian Potts 
Managing Editors, CAL/AAEM News Service
University of California, Irvine

The CAL/AAEM Archives are available at: http://maillists.uci.edu/mailman/public/calaaem/



 
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