Blue Cross Blue Shield of Michigan accused of pocketing millions

[Bozita]

Source: Detroit Free Press

POSTED: NOV. 23, 2010
Blue Cross Blue Shield of Michigan accused of pocketing millions
BY PATRICIA ANSTETT
FREE PRESS MEDICAL WRITER


Blue Cross Blue Shield of Michigan is facing a wave of lawsuits across the state accusing the insurance giant of pocketing millions of dollars in hidden fees from local governments and others to administer their health care plans.

The state court suits -- which already have cost the Blues several million dollars in verdicts and settlements -- are independent of an antitrust lawsuit filed last month in federal court by the U.S. Justice Department.

Although the focus of the federal suit differs, the lawsuits all contend that Blue Cross' business practices resulted in unfair and higher costs to others.

Troy attorney William Horton has won a $1.5-million jury verdict for the City of Pontiac and settlements in three other cases. Eleven others are pending.

Read more: http://www.freep.com/apps/pbcs.dll/article?AID=/20101123/BUSINESS06/11230340/1318/Wave-of-suits-hits-Blues&template=fullarticle

[saigon68]

1. Thugs and Hoodlums in suits

[ixion]

2. Yep, spot on.

:grr:

[wordpix]

22. add Aetna to those lawsuits - the ones who called my now cured acne a pre-existing condition

and then offered to insure me for double the usual premium.

I told them to F-off and they lost my business.

[old mark]

3. ...but the PA Blue Cross's TV ad says that they really care about our health...

Please don't tell me that's a lie!



mark

[MadMaddie]

5. Too funny Mark but spot on!

[DGG]

12. Blue Cross isn't one company

... not that this says anything in particular about your Blue Cross.

"Blue Cross" is a brand name shared by 39 otherwise independent insurers operating in different states, some for-profit and some non-profit. Wikipedia's entry explains the situation and how it came to be.

[damntexdem]

4. Millions? I don't believe it!

Must be tens of millions, if not hundreds.

I'm reminded of Dr. Evil's "one million dollars."

[activa8tr]

6. Only in Michigan? What about the other 49 states?

I think Michigan is just the tip of the proverbial iceberg!

[Bozita]

7. Maybe the BCBS CEO is preparing for a future run for Governor ... like in Florida?

[Recursion]

8. BCBS is on its way out anyways

PPACA essentially ends up making their business model unworkable; BCBS was chartered to insure the sort of people who will wind up in the exchanges.

[aquart]

9. Exactly whose pockets are the fattest?

Who walked home with the money?

[Jackpine Radical]

11. Gimme a "C"

Gimme an "E"

…the rest is left to your imagination.

[laughingliberal]

10. K & R nt

[ThatsMyBarack]

13. What about Illinois?

I think BCBSIL is just as guilty, charging us more and covering less! :grr:

[seeviewonder]

17. Unfortunately I once sold insurance for a living

so I try to help people at work understand things about it on occasion. Yesterday, in fact, I was helping a coworker look for health insurance for him and his teenage daughter. We got quotes from several companies for comparable policies and the average quote was about $150 a month less or so than the policy from BCBSIL. Its just fucking ridiculous that they can get away with this so easily and in as many states as they do at that. One day hopefully we will be able to bring down all health insurance companies for good.

[DeSwiss]

14. Fucking bloodsuckers. - K&R n/t

[woo me with science]

15. Is anyone surprised?

Anyone?

[tpsbmam]

16. Very quick search of BCBS of Michigan reveals the sleaze-buckets have been busy fucking consumers.

I'm sure there's WAY more, but here's just a couple from a very quick search of BCBS of Michigan:

Trying to screw seniors more than they already do:

An Ingham County Circuit judge Tuesday issued a preliminary injunction to stop Blue Cross Blue Shield of Michigan from implementing Medigap rate increases as high as 66 percent for some seniors.

The Michigan Attorney General's Office in September filed suit against Blue Cross and the state Office of Financial and Insurance Regulation over allegations of "illegally" raising rates up to 66 percent on an estimated 8,600 seniors who buy Medigap — an insurance that supplements Medicare coverage.

DOJ and the Michigan Atty Gen'l have an active lawsuit against them (as of October 2010) for violation of anti-trust laws:

John Sellek of the Michigan Attorney General's Office described what Blue Cross Blue Shield's actions in negotiating with hospitals as "atrocious".

"Blue Cross is using every advantage it has in the marketplace provided to them by the taxpayer to force out any compettion at any hospital," said Sellek. "What that's going to mean is market dominance for them and higher prices for everyone else."

I'm sure this is just the tip of the iceberg. They're nothing but piece of shit criminals -- and the US government is guilty of aiding & abetting.

(Edited...typo #235,236,304,704,345,968)

[bemildred]

18. Parasites suck. nt

[mtnester]

19. I am SHOCKED

:insertdrippingsarcasmiconhere:

[54anickel]

20. Oh wow. We have BCBS of TX thru hubby's employer here in WI. I'm really happy with them.

The coverage is good, I don't need a referral to see a specialist and every doctor I've ever wanted to see has been in the PPO plan. They provided nurses as preventative care advisors, nutritional experts, and I was even shipped a free BP monitor. The company was recently acquired by GE, so we're anxiously waiting to see what we end up with.

When I was employed, we were "self-funded" and our coverage sucked. A friend there who was a evaluated quite highly, 5 months later was on probation after an unacceptable performance evaluation. He hadn't changed a thing he was doing, but he had been out for 3 months after emergency heart surgery. We all figured it had something to do with being "self-funded". :shrug:

Anyway, I'm not excusing BCBS, I'm just saying that in my little corner of the world, BCBS seemed pretty decent. It saddens me to read this.

[sarcasmo]

21. GREED

[Tuesday Afternoon]

23. K&R

screwn.