Regulators Pursue Blue Cross Cancellation victims

Susan Devine

Contributor

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The California Department of Managed Care recently announced that it will act against Blue Cross of California, Blue Shield of California and HealthNet, all of whom are accused of wrongfully canceling (rescinding) health insurance policies after customers incur big medical bills.  Most Recently the Los Angeles City Attorney has taken action against Blue Cross and the other companies for this bad faith practice.  A San Luis Obispo Judge has certified a class action against Blue Shield on behalf of a group of these victims of insurance bad faith.  The San Luis Obispo newspaper, The Tribune recently ran an article regarding the case.  Currently, class actions against Blue Cross of California and Blue Cross Life have been consolidated in the Los Angeles Superior Court.