State Farm Payouts Violate Fla. No-Fault Law: Court

Law360, New York (February 16, 2010, 3:08 PM EST) -- A federal judge has found State Farm Mutual Automobile Insurance Co. improperly used a Medicare capping schedule to shortchange a Florida medical provider on an MRI reimbursement.

Judge Ursula Ungaro of the U.S. District Court for the Southern District of Florida granted summary judgment Thursday to All Family Clinic of Daytona Beach Inc., which brought a proposed class action under Florida's no-fault law for auto insurance.

The judge found that State Farm had improperly applied part of a federal statute that requires Medicare reimbursements on MRIs...
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