Payments stemming from a $2.67 billion settlement related to a class action lawsuit against insurance company Blue Cross Blue Shield are likely to arrive soon.
The settlement stems from a class action lawsuit that originated in Alabama in 2013 against more than 35 Blue Cross Blue Shield health insurance plans, USA Today wrote. The lawsuit claimed the company violated antitrust laws by limiting marketing competition resulting in higher premiums and fewer options for customers.
Blue Cross Blue Shield has denied the claims and a settlement was reached before a court issued a verdict.
“This settlement ends a long-running legal challenge to the Blue Cross Blue Shield Association license agreements and related rules. We deny the allegations made in the lawsuit. However, to reach a settlement and put years of litigation behind us, we have agreed to make some operational changes and a monetary payment to the provider class involved in the case,” the company said in an October 2024 statement.
Who is covered by the settlement?
Blue Cross Blue Shield Individual, Insured Group and Self-Funded Account customers between February 2008 and October 2020 were covered under the suit. The deadline to file a claim was Nov. 5, 2021, meaning new filings are no longer being accepted. Payments for those who did file are currently being issued, according to the settlement website.
Approximately $1.9 billion remains in the settlement fund after attorney’s fees. Roughly 6 million claims were filed by the deadline so, USA Today reported, payouts are expected to average $333 a claim.
A deadline for payments has not been announced but the settlement website noted claim determination notices were currently being sent on “a rolling basis.”
Source: Blue Cross Blue Shield $2.67 billion settlement: Who is eligible? Payments average $333
