Blue Cross Blue Shield Antitrust Litigation

Decreased Competition, Increased Premiums

Reich & Binstock is directly involved in the ongoing Blue Cross Blue Shield antitrust litigation in the Northern District of Alabama: Attorney Dennis Reich has been appointed as Chairman of the Damages Committee.

The multidistrict litigation (MDL) case against Blue Cross Blue Shield is a consolidation of litigation transferred from several of the 38 states in which Blue Cross health insurance plan subscribers and health care providers allege antitrust violations involving licensing agreements that diminish competition for the insurer and cause premiums to increase.

Alabama, in particular, is a state where Blue Cross's market dominance is widely known and exploited. A claim in Texas filed on behalf of Chiropractic Plus P.C. is one of the central pieces of the MDL.

What Is The Litigation All About?

Blue Cross's business structure creates a licensing pact between the insurer and its 38 regional member health insurance plans, effectively creating an anti-competitive trade association. Health insurance markets are divided and allocated among the plans, which do not compete with each other.

The plaintiffs' litigation asserts that this structure diminishes competition both from within and outside of the network, limiting consumer choice. In-network care providers are also not allowed to use out-of-network facilities. All of this leads to increased premiums and financial injury to both providers and subscribers.

Should You Join In The Litigation?

If you are a subscriber or provider that has suffered from this anti-competitive scheme, you may be entitled to damages with interest, trebled in accordance with federal law. Our team is also seeking injunctions against Blue Cross to prevent the plans and the association "from entering into, or from honoring or enforcing, any agreements" that foster illegal and anti-competitive practices.

Speak With Our Firm Today

Please call us in Houston at 713-352-7883 or 877-643-3099 toll free or contact us through our online form to schedule a free, confidential and no-obligation consultation with one of our experienced lawyers.