As has been widely reported, the Blue Cross Blue Shield Association has reached a tentative settlement in a pending class action lawsuit. The lawsuit was initiated in federal district court in 2013. It alleged that insurance companies in the Blue Cross Blue Shield Association (“BCBSA”) entered into agreements not to compete with each other for business, in violation of federal antitrust laws.
The proposed settlement is $2.67 billion, and after expenses will be paid to two distinct groups:
- The majority (roughly 94%) of the net settlement will be paid to fully-insured group policyholders and individual policyholders who had coverage with a BCBSA member between February 7, 2008 and October 16, 2020.
- The roughly 6% of net settlement proceeds remaining will be paid to self-funded groups that were administered by a BCBSA insurer between September 1, 2015 and October 16, 2020.
Anthem, Inc. is a BCBSA member and is the largest insurer in the Indiana market. If your company has offered an Anthem fully-insured or self-funded plan during these timeframes, you are likely eligible to participate in the settlement.
Please note that the settlement has not yet been approved by the federal district court. Therefore, it’s not yet possible to file a claim. More information about timeframes and the process for participation is available here. You can register to receive notification once the opportunity to file a claim is available to class members, likely beginning in the spring of 2021.
One final note: We are aware of third-party vendors offering services to assist employers in filing a claim, likely in exchange for a percentage of the settlement that is recovered. Be aware that class action settlements are relatively straightforward and third-party representation likely isn’t necessary. Our compliance experts can help you navigate and assist in obtaining information needed for eligibility.
Please contact Katy Stowers with any questions.