Cigna Knocks $40M Hospital Reimbursement Suit In 5th Circ.

Law360, New York (July 24, 2013, 5:59 PM ET) -- Cigna Corp. pressed the Fifth Circuit on Tuesday to kill a Houston hospital operator’s attempt to recover more than $40 million in medical claim reimbursements, saying a reversal threatens to undermine its cost-sharing model that is crucial to holding down health plan expenses.

The health insurer argued in its appellee’s brief that a Texas federal judge was right to dismiss North Cypress Medical Center Operating Co. Ltd.’s suit, which alleged that Cigna plans wrongfully refused to reimburse the hospital for medical expenses that it allowed patients...
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