Blue Cross Blue Shield of Michigan Hospital Costs Class Action Settlement

Blue Cross Blue Shield of Michigan (BCBSM) has agreed to pay nearly $30 million to settle a class action lawsuit alleging that clauses in some of its contracts violated antitrust laws and inflated prices for medical care at certain Michigan hospitals.

If you paid for medical services at a Michigan hospital between Jan. 1, 2006 and June 23, 2014, you may be entitled to payment from the BCBSM class action settlement.

In October 2010, the U.S. Department of Justice and the State of Michigan took legal action against BCBSM, claiming that the insurer had market power for “the sale of commercial health insurance” in 17 geographic markets in Michigan, and that it had inserted Most Favored Nation provisions in its contracts with 70 general acute care hospitals in the state. These provisions allegedly had anticompetitive effects in those markets.

The same month, a class action lawsuit was filed over these allegedly anticompetitive provisions. The plaintiffs allege these Most Favored Nation provisions inflated the price for healthcare services at certain Michigan hospitals.

BCBSM denies any wrongdoing but agreed to settle the antitrust class action lawsuit to avoid the expense and inconvenience of ongoing litigation. It is estimated that Class Members who file timely and valid claims will be able to recover more than 25 percent of the overcharges they may have paid.

The BCBSM class action settlement was preliminarily approved on April 17, 2018.

Class Members who would like to opt out of or object to the BCBSM settlement must do so no later than Sept. 16, 2018.

NOTE: A similar BCBSM class action settlement had previously received court approval in 2014, but the 6th U.S. Circuit Court of Appeals rejected the approval. If you submitted a claim for the earlier settlement, you do not need to submit another claim.

Who’s Eligible

Class Members of the BCBSM settlement include all direct purchasers of healthcare services from a Michigan general acute care hospital between Jan. 1, 2006 and June 23, 2014. Class Members include:

• “Individuals who paid Michigan General Acute Care Hospitals in the form of co-pays, co-insurance, deductibles or otherwise;
• Insurers that paid Michigan General Acute Care Hospitals for their insureds; and
• Self-insured entities whose health plan participants received healthcare services at Michigan General Acute Care Hospitals.”

A list of the general acute care hospitals in Michigan is available here.

Potential Award

Class Members may be eligible for minimum payment of $15, $25 or more, depending on their particular purchases.

According to the settlement notice, the amount of the payment will be determined by several factors, including:

• “Which general acute care hospital(s) in Michigan the Class Member paid;
• The amounts paid to the hospital(s) from January 1, 2006 through June 23, 2014; and
• Which insurer paid the hospital, provided the insurance coverage, or administered the self-insured plan.”

Proof of Purchase

Class Members are asked to provide records of the amount paid for hospital visits. It is not required to provide proof of payments, but the amount of payment the claimant will be eligible to receive may be substantially less.

Claim Form

CLICK HERE TO FILE A CLAIM »

NOTE: If you do not qualify for this settlement do NOT file a claim.

Remember: you are submitting your claim under penalty of perjury. You are also harming other eligible Class Members by submitting a fraudulent claim. If you’re unsure if you qualify, please read the FAQ section of the Settlement Administrator’s website to ensure you meet all standards (Top Class Actions is not a Settlement Administrator). If you don’t qualify for this settlement, check out our database of other open class action settlements you may be eligible for.

Claim Form Deadline

1/29/2021   UPDATED

Case Name

The Shane Group Inc. v. Blue Cross Blue Shield of Michigan, Case No. 2:10-cv-14360, in the U.S. District Court for the Eastern District of Michigan

Final Hearing

11/8/2018

UPDATE: The Blue Cross Blue Shield of Michigan Hospital Costs Class Action Settlement was granted final approval on September 30, 2019.  Let Top Class Actions know when you receive a check in the comments section below or on our Facebook page.

UPDATE: As of November 12, 2019 there have been multiple appeals filed to the Blue Cross Blue Shield of Michigan Hospital Costs Class Action Settlement. Claims will not be paid until all appeals are exhausted.  We appreciate your ongoing patience. Top Class Actions will continue to provide updates as we learn more.

Settlement Website

www.MichiganHospitalPaymentsLitigation.com

Claims Administrator

Shane Group v. BCBSM Settlement
Epiq, Settlement Administrator
P.O. Box 3240
Portland, OR 97208-3240
1-877-846-0588
info@MichiganHospitalPaymentsLitigation.com

Class Counsel

Daniel A. Small
Brent W. Johnson
COHEN MILSTEIN SELLERS & TOLL PLLC

Defense Counsel

Todd M. Stenerson
SHEARMAN & STERLING LLP