Health Net of Connecticut is being blasted by Connecticut Governor M. Jodi Rell and the Connecticut Department of Social Services over its insurance practices in the state. The issues in CT come only days after the company was fined $1 million by California’s Department of Managed Health Care for lying about rescission practices. All in all – not a good week for Health Net.

The Governor’s complaints

According to the Hartford Courant, Connecticut Governor, M. Jodi Rell, terminated the state’s contract with Health Net and three other insurers that run the state’s HUSKY program – an insurance program for low income families in the state after the insurers refused to disclose doctor reimbursement rates and other information violating Connecticut’s Freedom of Information (FOI) Law. The insurance companies had previously stated that they would drop the state’s HUSKY program with only 15 days’ notice if they were forced to comply with the FOI law which Rell has been quoted as saying was an “utterly deplorable tactic”. The CT Department of Social Services will take over the handling of the HUSKY program, but they have their own concerns with Health Net.

Department of Social Services complaints

Connecticut’s Department of Social Services has given Health Net 60 days to correct computer messages that improperly tell pharmacies to deny medicines to some low income children or it will fine the insurer $60,000, according to the Courant. The paper also reported that Connecticut Attorney General Richard Blumenthal has called for sanctions against Health Net in the matter due to the insurer’s practice of:

…sending pharmacies fraudulent computer messages that deny some low-income children medication and for allegedly misleading a state inquiry into thinking it didn’t use the messages.

Simply put, the insurer is telling pharmacies that certain medications are not covered when they really are.

Receiving complaints from the Department of Social Services, the Governor and the Attorney General, Health Net doesn’t seem to have done such a great job in Connecticut and may have acted in bad faith in some situations.

If you’ve been the victim the victim of bad faith from an insurance company, contact an attorney who understands how insurance companies operate. For a free consultation with a qualified attorney near you, click here.