Anthem has filed suit against a former executive, arguing that he took trade secrets to a competitor to assist them in bidding for a Medicaid contract.
The lawsuit, filed March 7 in Indiana district court, alleges that Chad Piper, the former president of its Nebraska Medicaid business, violated his contract with the insurer as well as state and federal laws on trade secrets. Piper later left Anthem to take a role as the CEO of CareSource's Medicaid plan.
Iowa is currently accepting bids for its Medicaid plans, and Piper is leading the charge in preparing a bid from CareSource that could challenge Anthem's bid, according to the lawsuit.
"CareSource does not currently operate a Medicaid plan in Iowa, so Piper has conceivable activities other than preparing for the forthcoming rebid," Anthem said in the suit.
Piper says he does not have access to confidential information from Anthem in Iowa; however, he joined CareSource only after obtaining significant details on Anthem's rebid plans, according to the suit.
Oct. 18, 2021, Piper attended an internal meeting that included details on Anthem's strategy for its rebid in Iowa, according to the lawsuit. He began interviewing at CareSource shortly thereafter in late October or early November.
Piper also forwarded multiple documents to himself that contained confidential information, according to the lawsuit.
Anthem wants the courts to bar Piper from participating further in the bidding process. CareSource is not named as a party in the lawsuit.
The lawsuit was first reported on by Modern Healthcare.