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Pharma Investments, Ventures & Law Weekly

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Consumer Watchdog



PacifiCare 'Rescission' Settlement Gives Lip Service to Patient Losses but Stacks Legal Deck in Favor of Insurers



July 6th, 2008

A settlement announced by California health regulators acknowledged that patients should be able to recover unpaid medical bills following illegal cancellations of their health coverage. Yet the details of the settlement stack the legal deck in favor of health insurers, said Consumer Watchdog, allowing them in many cases to evade any payment.

Under the settlement, insurers could use closed-door arbitration proceedings, where patients would likely not be able to afford legal representation, to avoid paying the medical bills racked up by patients both before and after the policy rescission.

"Instead of weak regulatory capitulations to insurance...


Source: Pharma Investments, Ventures & Law Weekly (2008-07-06)

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