Blue Cross Blue Shield of Michigan has appealed a U.S. District Court judge's denial to dismiss a federal and state lawsuit against the payor, which claims it uses anticompetitive contracts with hospitals, according to a Detroit News report.
The suit was filed last fall by the U.S. Justice Department and former Michigan Attorney General Mike Cox. In June, Detroit federal Judge Denise Page Hood refused the insurer's request to dismiss the lawsuit.
The federal and state governments allege the Blues signed contracts with more than half of Michigan's acute care hospitals that prevent them from charging other insurance companies lower prices. The suit also claims that in some cases the Blues agreed to pay more reimbursement to hospitals if they charged higher rates to competing payors in the area.
Helen Stojic, a spokesperson for the Blues, said, "The federal government wants to deny us this ability to keep health care affordable, and we look forward to successfully defending it in court. This appeal is part of that process," according to the report.
Read the Detroit News report on the lawsuit against Blue Cross Blue Shield of Michigan.
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The suit was filed last fall by the U.S. Justice Department and former Michigan Attorney General Mike Cox. In June, Detroit federal Judge Denise Page Hood refused the insurer's request to dismiss the lawsuit.
The federal and state governments allege the Blues signed contracts with more than half of Michigan's acute care hospitals that prevent them from charging other insurance companies lower prices. The suit also claims that in some cases the Blues agreed to pay more reimbursement to hospitals if they charged higher rates to competing payors in the area.
Helen Stojic, a spokesperson for the Blues, said, "The federal government wants to deny us this ability to keep health care affordable, and we look forward to successfully defending it in court. This appeal is part of that process," according to the report.
Read the Detroit News report on the lawsuit against Blue Cross Blue Shield of Michigan.
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