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Eating Disorders Blog

New Jersey Insurance Company Settles Eating Disorders Law Suit

Horizon Blue Cross/Blue Shield of New Jersey has tentatively settled a lawsuit involving reimbursements for medical expenses related to the treatment of eating disorders. The settlement will be finalized in federal court. The company previously offered limited coverage for certain expenses related to the treatment of eating disorders, including hospitalization, outpatient treatment, psychotherapy, and nutritional counseling.

Under the terms of the new settlement, the company has agreed to pay claims that were initially denied for exceeding plan limits for non-biologically based mental illness. In addition, the insurance company will be implementing new procedures for reviewing eating disorder-related claims, including giving appealing claimants the right to have cases reviewed by an eating disorder specialist.

The settlement resulted from a class-action lawsuit by New Jersey customers of Horizon Blue Cross/Blue Shield. Bruce H. Nagel, the attorney who represented these plaintiffs, called the settlement "a landmark settlement which should change the way insurance carriers view eating disorders."

(Source: www.consumeraffairs.com)

Posted By: jgarcia