A nonprofit health-care cooperative in Maryland is suing the federal government to avoid paying tens of millions of dollars to a larger insurer under what the group described as a “dangerously flawed” program of the Affordable Care Act.
Evergreen Health on Monday filed a lawsuit in U.S. District Court in Maryland claiming that the Centers for Medicare and Medicaid Services (CMS) has unfairly required it to fork over $22 million to CareFirst, a Blue Cross and Blue Shield affiliate operating in the Mid-Atlantic region.
Peter Beilenson, chief executive of the 40,000-member co-op, said in a statement Monday that the system is providing “a financial boon for the country’s largest and most established health insurers, at the expense of new, innovative insurers.” He added that the cost would eat up 26 percent of Evergreen’s 2015 revenue from premiums. For the full article click here
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