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It just got even worse for Wellpoint

Anthem/Wellpoint's ill-fated efforts to reduce medical costs by retroactively cancelling policies for members with mistakes on applications has become the company's open sore. The latest is the filing of a major lawsuit by the City of Los Angeles, accusing the big health plan of "unlawfully canceling the coverage of thousands of Californians after they filed medical claims."

While earlier reports indicated around 700 policies had been affected, the LA City Attorney 's suit alleges that 'up to' 6000 members had their coverage cancelled.

And that is in LA County. If other municipal prosecutors decide to join in Wellpoint may find itself facing a plethora of suits from all over California; if it expands east...

Once again folks, reform is coming. Do you want to be helping to navigate the bus or do you want to be the bug on the windshield?

Posted by on April 22, 2008 6:01 AM |

Comments

There are 7-8 class actions has been filed against Wellpoint because of violations of the Securities Exchange Act, few class actions related to Related to WellPoint's 401(k)... Source: http://www.wellpointclassaction.com

Posted by: Answerability | April 23, 2008 8:14 PM

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