Amerigroup Settles Discrimination Suit For $234M

Law360, New York (July 23, 2008, 12:00 AM EDT) -- Insurance company Amerigroup Corp. will pay $234 million including legal fees to settle a suit brought by a whistleblowing former vice president alleging the company systematically discriminated against pregnant women when signing up new clients.

Amerigroup reported Tuesday that it will pay $225 million to the U.S. and the State of Illinois, plus $9 million in legal fees, without admitting wrongdoing. The company also reported that as of 2006 it ended its contract with Illinois.

A U.S. judge for the Northern District of Illinois had ordered...
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