Bethesda, Md.-based health insurer Coventry Health Care has agreed to a $3 million settlement to resolve allegations it provided employees with unauthorized access to a Medicare database.
From May 2005 through December 2006, some Coventry employees allegedly accessed a CMS database inappropriately to obtain Medicare eligibility information for customers who had filed worker's compensation claims.
Employees allegedly reviewed this information to inform customers about Medicare "set-aside" products, which allocate a portion of the worker's compensation settlement for future medical costs that would otherwise be payable by Medicare. Federal officials claim Coventry's actions were intended in part to give the company an unfair advantage over its competitors.
Several senior Coventry employees were allegedly aware of the unauthorized access to the database. All of those individuals have since terminated their employment with Coventry.
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From May 2005 through December 2006, some Coventry employees allegedly accessed a CMS database inappropriately to obtain Medicare eligibility information for customers who had filed worker's compensation claims.
Employees allegedly reviewed this information to inform customers about Medicare "set-aside" products, which allocate a portion of the worker's compensation settlement for future medical costs that would otherwise be payable by Medicare. Federal officials claim Coventry's actions were intended in part to give the company an unfair advantage over its competitors.
Several senior Coventry employees were allegedly aware of the unauthorized access to the database. All of those individuals have since terminated their employment with Coventry.
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