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(New throughout) Stocks By Lewis Krauskopf NEW YORK, Jan 15 (Reuters) – UnitedHealth Group Inc (UNH.N)agreed on Thursday to pay $350 million to resolve class actionlawsuits over reimbursing patients for out-of-network medicalservices rodney carrington tour . The settlement comes two days after UnitedHealth struck anagreement with the New York state attorney general following aprobe into the independence of the company database used to setreimbursement rates for patients’ medical bills rodny carrington . Attorney General Andrew Cuomo also reached agreement onThursday with another health insurer, Aetna Inc (AET.N), whichwill pay $20 million to help establish an independent databaseused for calculating rates roney carrington . Aetna’s payment adds to the $50 million UnitedHealth agreedto pay earlier this week to fund the database rodney carrigton . UnitedHealth isalso shutting its Ingenix medical billing information service,which has been at the center of the probe. UnitedHealth’s $350 million settlement resolves litigationfiled on behalf of the American Medical Association, healthplan members, healthcare providers and state medicalsocieties.
It will fund the settlement for health plan members andout-of-network providers in connection with proceduresperformed since 1994 rodney carrington concerts . UnitedHealth, which did not admitwrongdoing, will be released from claims relating to itsout-of-network reimbursement policies dating back to 1994 rodney currington Rodney Carrington tickets . Other health insurers also face similar class actionlawsuits rodney karrington . “This scam cost consumers hundreds of millions of dollars,”Cuomo said during a news conference on Thursday rodey carrington .
The UnitedHealth settlement involves three federal classaction suits the company is seeking to have consolidated in theSouthern District of New York The settlement is subject tocourt approval UnitedHealth, the largest U.S . health insurer by marketvalue, said it would pay for this settlement with cash on hand,with the accrual included in its results for the fourth quarterof 2008 rodnet carrington . A probe by Cuomo, announced last February, found thatUnitedHealth’s Ingenix unit operates a “defective andmanipulative” database that most major health insurers use toset reimbursement rates for out-of-network medical expenses rodney dangerfield dvds . Insurers often promise to cover up to 80 percent of the so-called “usual and customary” rate of an out-of-network expense,with consumers responsible for paying the balance . The Ingenixdatabase would skew these rates downward compared with theactual market rate, shortchanging consumers, Cuomo said.
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