A federal judge in Alabama approved a $2.67 billion settlement in a class-action lawsuit against Blue Cross Blue Shield (BCBS) Association in 2020, but customers are now expected to start receiving the payout.
The lawsuit, filed in 2013, claimed the Association limited competition and drove up insurance costs. The class action antitrust lawsuit alleged that BCBS Association entities entered into agreements not to compete with one another in the sale of health insurance.
BCBS denied wrongdoing and said its actions actually lowered health care costs and made health care more accessible. However, BCBS settled to avoid additional litigation costs.
Eligible claimants had BCBS plans between 2008 and 2020.
Americans who received benefits through the Association during that time could begin receiving payments in May. A website was created to provide settlement information.
$1.9 billion of the settlement will go directly to customers. The remaining amount will cover attorneys and court costs.
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