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Blue Cross Blue Shield Class Action Lawsuit Settlement Information

Tuesday, April 27, 2021



You and your employees may be receiving information on a proposed settlement of a class-action lawsuit filed against the Blue Cross Blue Shield Association (BCBS) health plans. You can access detailed information on the Blue Cross Blue Shield Settlement Website linked here including options to participate or opt out, notice and claim forms and relevant contact information. We have summarized some of the key details below. As always, we are here to assist but recommend you review your options carefully with counsel.





This class action is called In re: Blue Cross Blue Shield Antitrust Litigation MDL 2406, N.D. Ala., Master File No. 2:13-cv-20000-RDP and is pending in the United States District Court for the Northern District of Alabama Southern Division. U.S. District Court Judge R. David Proctor is overseeing this class action. Plaintiffs allege that Settling Defendants violated antitrust laws by entering into an agreement where the Settling Defendants agreed not to compete with each other in selling health insurance and administration of Commercial Health Benefit Products in the United States and Puerto Rico, as well as agreeing to other means of limiting competition in the market for health insurance and administration of Commercial Health Benefit Products. Settling Defendants deny all allegations of wrongdoing. The Court authorized the Notice because Class Members have a right to know about the proposed Settlement of certain claims against Settling Defendants in this class action lawsuit and about Class Members’ options before the Court decides whether to approve the Settlement.


If approved by the Court, the Settlement will establish a $2.67 billion Settlement Fund. You may be eligible to receive payment if you are an IndividualInsured Group1 (and their employees) or Self-Funded Account2 (and their employees) that purchased or were enrolled in a Blue Cross or Blue Shield health insurance or administrative services plan during one of the two Settlement Class Periods.



Settlement payment amounts will depend on several factors including, among other things, the number of valid claims that are filed, the premiums you paid to one or more of the Settling Defendants during the class period, and whether your insurance was fully insured or self-funded.




In addition, the Notice from the court, detailing the process and much of the information above, in a Q/A format is available here.



While we strive to provide only the highest quality of information and education through the materials we release, IBTX encourages all clients to discuss your options and questions with legal counsel.


Posted by in Blog, Health & Benefits

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