New York, NY —
Attorney General Andrew Cuomo has signed an agreement with one of the nation’s largest health insurers that he says will reform how they charge consumers. WNYC’s Fred Mogul reports.
REPORTER: Cuomo says United Health has over-charged Americans hundreds of millions of dollars by improperly setting reimbursement rates, forcing patients to pay more out-of-pocket, when they go out-of-network. United Health admitted no wrong-doing. But the company agreed to dismantle its widely-used database, which is to health insurance reimbursement rates what the Blue Book is to used car prices.
Cuomo says a new database, produced by an independent non-profit, would set rates more accurately and reduce consumers’ out-of-pocket charges. United Health has agreed to initially fund this database.
Cuomo says he is still pursuing restitution from the company for over-charging, but he will let private class action lawsuits proceed first.
For WNYC, I’m Fred Mogul.