AMA Announced Settlement of Class Action Suit of $350 Million with Ingenix (United Healthcare)
Posted Dec 03 2009 10:14pm
This was one long lawsuit that drug on for over 9 years. When you think about it the data base was only shut down recently so how about everything else that has taken place in 9 years, or perhaps that is part of the settlement amount? There are plenty of other Ingenix lawsuits that have been filed as well from different states, individuals and providers though that are unfinished business. Aetna has one going on in New Jersey relating back to the data base with class action requests.
It was just June of this year that Healthnet stopped using the data base.
CHICAGO, Dec. 3 /PRNewswire-USNewswire/ -- The American Medical Association (AMA) announced today that the United States District Court for the Southern District of New York has granted preliminary approval of the previously disclosed $350 million settlement that would resolve a class-action lawsuit against UnitedHealth Group.
The action brought by the AMA, Medical Society of the State of New York and Missouri State Medical Association, along with several other plaintiffs, alleged that UnitedHealth Group colluded with others to underpay physicians for out-of-network medical services. Originally filed in March 2000, the suit sought relief for physicians who were seriously harmed by the insurer's long-term use of the flawed database operated by Ingenix, a unit of UnitedHealth Group. A year-long investigation in 2008 by the New York Attorney General confirmed that the Ingenix database is intentionally rigged to allow insurers to shortchange reimbursements.
As required by the court's preliminary approval order, a formal notice of settlement will be publicized and circulated to class members providing detailed terms of the proposed settlement, including important dates and information related to filing claims for reimbursement from the $350 million settlement fund.
A copy of the court order is available on the AMA Web site at: