Insurers Accuse Arthrocare Of Medical Billing Fraud

Law360, New York (July 14, 2010, 3:30 PM EDT) -- A group of auto insurers has sued Arthrocare Corp., saying the medical device maker conspired with doctors and personal injury firms to use car accident settlements to fund otherwise uncovered spinal procedures.

The insurers — Integon National Insurance Co., National General Insurance Co., MIC General Insurace Corp. and others — say they were tricked into funding procedures that health insurance companies considered experimental, in a complaint filed Tuesday in the U.S. District Court for the Middle District of North Carolina.

Arthrocare also tweaked the surgical procedure...
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