Blue Cross Blue Shield will soon begin issuing settlements from a $2.67 billion class-action lawsuit that accuses the health insurance giant of violating antitrust laws.
The lawsuit began in 2013, when a class-action lawsuit was filed against more than 35 Blue Cross Blue Shield health insurance plans. The lawsuit claims the company violated antitrust laws by restricting competition, resulting in higher premiums and less choice for customers.
Blue Cross Blue Shield has repeatedly denied the claims, and while no final court ruling has been reached, the case has been settled. When USA TODAY contacted Blue Cross Blue Shield in February, the company did not respond for comment.
Below is information about the settlement payments, including who is eligible, the estimated payment amount, and when payments will be made.
Who is eligible for a Blue Cross Blue Shield settlement payment?
Customers who are eligible for a Blue Cross Blue Shield settlement payment need to submit a claim by November 5, 2021. If a customer is eligible but does not submit a claim by the deadline, the customer will not receive a payment.
Claims include individuals, insured groups and self-funded accounts. Individuals and insured groups who were customers between February 7, 2008 and October 16, 2020 may be eligible for payments, and self-funded accounts that were customers between September 1, 2015 and October 16, 2020 may be eligible for payments.
What are the closing costs?
As of the November 2021 deadline, approximately 6 million people had filed claims, so the estimated compensation amount per claim is approximately $333.
Although Blue Cross Blue Shield agreed to set up a $2.67 billion settlement fund, only $1.9 billion is left to pay out after attorneys’ fees, administrative fees and other costs, according to the Blue Cross Blue Shield settlement website.
When will settlement funds be released?
According to the settlement website, the first distribution of payments will begin in May 2026. Notice of claim should have been sent to the customer via email.
What is Blue Cross Blue Shield?
Blue Cross Blue Shield is the association of U.S. health insurance companies. These companies offer plans to individuals, families, and businesses.
Contributors: Presley Bo Tyler of The Shreveport Times and David Bruce of The Erie Times-News
Greta Cross is a nationally featured reporter for USA TODAY. Follow her on X and Instagram @gretalcross. Story idea? Email her at gcross@usatoday.com.
Gabe Hauari is a nationally featured news reporter for USA TODAY. You can follow him on X @GabeHauari Or send an email to Gdhauari@gannett.com.
This article originally appeared in USA TODAY: Blue Cross Blue Shield payments to settle $2.67B starting in May
