Blue Cross makes changes in face of lawsuits

Blue Cross of California said that it will revise some of its practices when it comes to canceling individual insurance policies. The insurer has recently faced several lawsuits for retroactively canceling customers' coverage after a policyholder required high-cost medical care. Blue Cross will change the patient appeals process for when they are denied a claim and will also create an ombudsman. But critics say that that the new measures don't address the fact that the insurer is violating California law by canceling the policies.

Two healthcare bloggers have very different takes on Blue Cross's recent legal troubles. Joe Paduda of Managed Care Matters blasts Blue Cross for its actions. "Health insurers, which aren't exactly beloved by the American consumer, look cheap, heartless, and stupid for this type of decision" he states. But at Insure Blog, Henry Stern takes the brave stance of defending Blue Cross. Like it or not, he states, some patients have knowingly or unknowingly kept medical information from Blue Cross. Had they included that in their initial application, they would have been denied coverage to begin with.

For more on Blue Cross and reaction to the lawsuits:
- read this Los Angeles Times article
- check out Joe Paduda's comments
- see Henry Stern's take on the situation

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