Last month, Southern District of New York Judge Lawrence M. McKenna gave final approval to a $350 million class action settlement with UnitedHealth Group Inc. The settlement resolves claims that the health insurer colluded with others to underpay doctors outside of its network. The judge pointed out in his order that the case involved complicated issues and that the settlement was a good result for members of the class.
The settlement came in a suit commenced in 2000 by the American Medical Association and other medical groups, providers and patients seeking relief for physicians who were harmed by UnitedHealth’s use of a database to determine payments for out-of-network doctors.
An investigation by New York Attorney General Andrew Cuomo resulted in UnitedHealth agreeing in January 2009 to a $50 million settlement and the closure of the database, which Cuomo at the time said resulted in “unfair reimbursements” to patients. The class action settlement, announced two days later, also required the end of the database on a national basis. Judge McKenna unsealed his preliminary approval of the settlement in December. Another $12 million will be added in interest.
The law firm of Pomerantz Haudek Grossman & Gross represented the Plaintiffs and did a very good job for the class members.
Contact us today for a free legal consultation with an experienced attorney.
Fields marked *may be required for submission.
If you would like to subscribe to the Jere Beasley Report digital edition, simply visit our Subscriptions page and provide the necessary information or call us at 800-898-2034.
Attorney Advertising - Prior results do not guarantee a similar outcome.