SPOTLIGHT: Feds accuse Michigan Blues of price fixing

The U.S. Justice Department has sued Blue Cross and Blue Shield of Michigan, accusing of it engaging in anti-competitive behavior by pressuring hospitals to charge higher prices to its competitors, reports the New York Times. According to the lawsuit, the Michigan Blues included "most favored-nation" clauses in their provider contracts, requiring other insurers be charged rates as much as 40 percent higher in exchange for their business. The Michigan Blues have the highest market share among insurers in the Wolverine State. The state of Michigan is also a party to the suit, which was filed in U.S. District Court in Detroit. Article

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