Wednesday, July 29, 2009

Rationing? Say it ain't so!

Blue Cross praised employees who dropped sick policyholders, lawmaker says - Los Angeles Times:

But documents obtained by the House Committee on Energy and Commerce and released today show that the company's employee performance evaluation program did include a review of rescission activity.

The documents show, for instance, that one Blue Cross employee earned a perfect score of '5' for 'exceptional performance' on an evaluation that noted the employee's role in dropping thousands of policyholders and avoiding nearly $10 million worth of medical care.

WellPoint's Blue Cross of California subsidiary and two other insurers saved more than $300 million in medical claims by canceling more than 20,000 sick policyholders over a five-year period, the House committee said.

'When times are good, the insurance company is happy to sign you up and take your money in the form of premiums,' Stupak said. 'But when times are bad, and you are afflicted with cancer or some other life-threatening disease, it is supposed to honor its commitments and stand by you in your time of need.

'Instead, some insurance companies use a technicality to justify breaking its promise, at a time when most patients are too weak to fight back,' he said.

Lawmakers -- Republicans and Democrats alike -- decried the practice of canceling policies of ill policyholders and grilled insurance executives about it.

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