ERISA Class Action Against Horizon Tossed

Law360, New York (October 8, 2009, 2:51 PM EDT) -- A federal judge has dismissed a putative Employee Retirement Income Security Act class action against Horizon Blue Cross Blue Shield of New Jersey Inc. accusing the company of not properly paying out-of-network providers.

U.S. District Judge Stanley Chesler of the District of New Jersey on Wednesday dismissed a complaint brought by Cathleen McDonough, who is insured by Horizon, granting her the opportunity to replead.

Horizon's policies are required to calculate payment of claims for out-of-network services based on the usual and customary rate in the area,...
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