Arizona has sued two health insurance co-ops in an attempt to seek payment for provider claims from the insolvent insurers.
The state filed suit against Meritus Mutual Health Partners and Meritus Health Partners Aug. 1, seeking to put the insurers into receivership for lack of assets to pay provider claims after they were suspended from doing business last year. Since shutting down in December 2015, the insurers have been unable to pay their debts, according to Courthouse News.
According to the lawsuit, the state wants the co-ops to enter into a liquidation order to protect enrollees from collection activities that may be associated with unpaid provider bills.
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