Business Services Industry

Minnesota alleges Blues misconduct.(Blue Cross and Blue Shield of Minnesota)(Brief Article)

Business Insurance, October, 2000 by Prince, Michael

ST. PAUL, Minn.--Minnesota Attorney General Mike Hatch is suing Blue Cross & Blue Shield of Minnesota, accusing the health insurer of ``a pattern and practice of misconduct'' in denying coverage for children and young adults in need of treatment for mental health, drug addiction and eating disorders.

The suit, filed in state court on Oct. 3, alleges that the health insurer violated state insurance and consumer protection laws when it wrongfully denied coverage for some children and young adults that was recommended by physicians. In addition, the state's complaint alleges that when denying the treatment, the insurer suggested that parents should have their children arrested and then treated by government agencies. For example, the complaint describes how one...

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