HealthExtras Benefits Programs Class Action Settlement

If you were a member of an insurance plan that was endorsed by Christopher Reeve, you may be entitled to benefits from a class action settlement.

A settlement has been reached in a class action lawsuit alleging that certain insurance plans were involved in the sale or underwriting of allegedly invalid or illegal disability, dismemberment, casualty, emergency accident and sickness medical expense benefit, or travel insurance coverage.

These health plans were reportedly offered as the HealthExtras Catastrophic Accidental Disability Program, the HealthExtras Benefits program, the American Express Accidental Disability Plan, the Catastrophic Accident Plan, or the Accident Protection Plan.

The insurance coverage class action lawsuit alleges that, from 1999 through 2014, the defendants were involved in the sale or underwriting of invalid or illegal insurance benefits or coverage.

The defendants named in the class action lawsuit include HealthExtras Inc., HealthExtras LLC, Catalyst Health Solutions Inc., HealthExtras Insurance Agency Inc., Catamaran Health Solutions LLC, National Union Fire Insurance Company of Pittsburgh Pa., American International Group Inc., AIG Group Insurance Trust, Virginia Surety Company Inc., Alliant Insurance Services Inc., Alliant Insurance Services Houston LLC and Alliant Services Inc.

Other defendants named in the HealthExtras class action lawsuit include other entities that were allegedly involved in the benefits programs, including but not limited to Amex Insurance Services, Capital One Bank, Chase Manhattan Bank, KeyBank National Association and SunTrust Insurance Services.

Plaintiffs Stephen Giercyk, Ajay Das and James and Emma Imes allege that the defendants were responsible for selling and underwriting group insurance to consumers who were ineligible to receive the insurance under state law, falsely and deceptively advertised the insurance and collected excessive fees or premiums.

The plaintiffs asserted claims for violations of state consumer protection laws, breach of contract, breach of good faith and fair dealing, conversion, unjust enrichment and civil conspiracy. Their health insurance class action lawsuit sought punitive damages and injunctive relief.

The defendants deny the allegations but agreed to settle the HealthExtras class action lawsuit to avoid the expense and uncertainty of ongoing litigation. They have agreed to pay about $15 million to exit the litigation.

If you would like to object to the settlement or exclude yourself from the settlement, you must do so no later than Mar. 10, 2017.

Who’s Eligible

According to the Class Notice: “You may be a Class Member if you paid for or received any benefits or memberships from or relating to any Benefits Programs. ‘Benefits Programs’ include (1) the ‘HealthExtras Catastrophic Accidental Disability Program,’ the ‘HealthExtras Benefits Program,’ the ‘American Express Accident Disability Plan,’ the ‘Catastrophic Accident Plan,’ and the ‘Accident Protection Plan,’ as well as (2) any benefits program or memberships offering any type of disability, dismemberment, casualty, emergency accident and sickness medical benefit, or travel insurance, marketed or administered by HealthExtras, J.C. Penny Life Insurance Company, Stonebridge Life Insurance Company, or American Express Travel Related Services Company, Inc., among other financial institutions, or (3) that used the trade name ‘HealthExtras,’ including any such program endorsed by Christopher Reeve, provided, however, that ‘Benefits Program’ does not include benefits or memberships received as an employee of HealthExtras Inc. or Catalyst Health Services Inc.”

There are two Classes defined in this HealthExtras class action settlement: the HealthExtras Settlement Class and the Stonebridge Settlement Class.

HealthExtras Settlement Class: You are a member of the HealthExtras Settlement Class if you paid for or received any benefits or memberships from or relating to any Benefits Programs for which any insurance coverage was underwritten by the following insurance companies: National Union Fire Insurance Company of Pittsburgh, Pa.; Federal Insurance Company; Reliance Insurance Company; Zurich American Insurance Company; or AMEX Assurance Company.

Stonebridge Settlement Class: You are a member of the Stonebridge Settlement Class if you paid for or received any benefits or memberships from or relating to any Benefits Programs for which any insurance coverage was underwritten by J.C. Penny Life Insurance Company or Stonebridge Life Insurance Company.

Potential Award

Varies, depending on the Class the claimant belongs to, how much they paid in membership fees, how long they were enrolled in any Benefits Programs, and the total number of claims filed.

According to the settlement documents, the settlement fund will be distributed on a proportional basis as follows: 75 percent of the settlement fund will be set aside for the HealthExtras Settlement Class and the remaining 25 percent will be set aside for the Stonebridge Settlement Class.

Proof of Purchase

N/A

Claim Form

CLICK HERE TO FILE A CLAIM »

Claim Form Deadline

3/31/2017

Case Name

Giercyk v. National Union Fire Insurance Company of Pittsburgh, PA, et al., Case No. 2:13-cv-06272-FSH-MAH, in the U.S. District Court for the District of New Jersey

Final Hearing

4/27/2017   UPDATED

UPDATE: The HealthExtras class action settlement received final approval from the court on April 27, 2017.  Let Top Class Actions know when you receive a check in the comments section below or on our  Facebook page.

Settlement Website

www.HealthExtrasSettlement.com

Claims Administrator

HealthExtras Settlement Administrator
Heffler Claims Group
P.O. Box 60167
Philadelphia, PA 19102
1-844-245-3767

Class Counsel

Joseph H. Aughtman
AUGHTMAN LAW FIRM

Richard M. Golomb
Kenneth Grunfeld
GOLOMB & HONIK PC

Aaron Hemmings
HEMMINGS & STEVENS PLLC

Defense Counsel

Grant W. McGuire
TOMPKINS MCGUIRE WACHENFELD & BARRY LLP