6th Circ. Finds Blue Cross Fees To Self-Insured Violate ERISA

Law360, New York (July 18, 2013, 4:55 PM EDT) -- The Sixth Circuit ruled Thursday that Blue Cross Blue Shield of Michigan ran afoul of federal benefits law by charging fees to a self-insured plan to cover payments required by the state to subsidize the cost of health care to senior citizens.  

The appeals court upheld a district court's grant of summary judgment to Pipefitters Local 636 Insurance Fund, finding that by discretionarily charging the fee to the fund, Blue Cross had violated the Employee Retirement Income Security Act's prohibition against self-dealing and breached its fiduciary...
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