Insurance Overpayment Suit Belongs In State Court: Judge

Law360, New York (August 11, 2011, 3:35 PM EDT) -- A federal judge ruled Wednesday a $10 million breach of contract suit claiming insurance broker Mercer (US) Inc. caused the University of Washington and its students to overpay for health insurance did not qualify as a class action, returning it to Washington state court.

The University of Washington accuses the insurance broker of not fulfilling a contractual obligation to challenge improper premium hikes. According to the university, Mercer allowed a Mega Group USA Inc. subdivision — acquired by UnitedHealth Group Inc. in 2006 — to use...
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