BlueCross BlueShield

Memphis, TN: (May-08-07) A nationwide class action lawsuit filed against BlueCross BlueShield alleged that the insurer used automated programs to reduce payments to doctors and evaluated claims based on criteria such as cost rather than medical necessity. The suit further claimed that BlueCross organizations across the country systematically denied, delayed, and reduced payments to doctors for medical care. In a settlement reached, BlueCross BlueShield agreed to pay $128 million to settle claims. The settlement will be distributed nationwide. [MEMPHIS COMMERCIAL APPEAL: REDUCED PAYMENTS]

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