NJ High Court Limits Info Insurers Can Get In Fraud Probes

Law360, New York (July 18, 2012, 8:24 PM EDT) -- In a ruling that limits fishing expeditions by insurers that suspect fraud, the New Jersey Supreme Court held Wednesday that insurance companies can't demand information from health care providers seeking payments as benefit assignees.

The decision denies an appeal by six Selective Insurance Co. of America entities seeking data from six New Jersey health care providers over fraud suspicions involving insureds who received care at the facilities for auto accident injuries.

In reviewing the claims submitted for payment, Selective detected what it considered to be suspicious...
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