BCBS of Montana accused of providing kickbacks to municipal leaders

Businesses in Montana sued Blue Cross Blue Shield of Montana to recoup fees the insurer allegedly kicked back to municipal leaders as a marketing incentive, according to the Missoula Current.

The lawsuit claims BCBS of Montana, part of Health Care Service Corp., tacked on a $5 monthly fee to employer premiums and transferred the money to the Montana Chamber of Commerce to help them market insurance products to employers in the state.

The lawsuit seeks to recoup all alleged surplus fees, punitive damages and attorney fees.

The defendants filed a motion to dismiss the case. They argue that previous decisions made by the Montana Supreme Court and the Ninth Circuit Court block the plaintiffs from recovering the alleged charges.

More articles on payers:
UnitedHealth shares worth 10 times what they were in 2010
CMS proposes risk adjustment updates to Medicare Advantage: 5 things to know
'No guarantee of payment': Healthcare cost-sharing ministries face growing scrutiny

© Copyright ASC COMMUNICATIONS 2020. Interested in LINKING to or REPRINTING this content? View our policies by clicking here.

 
 

Featured Webinars

Featured Whitepapers