California Attorney General Jerry Brown has subpoenaed the seven largest health insurers in the state over alleged claims denials and rate hikes.
Aetna, Anthem Blue Cross of California, Cigna Corp., Health Net, Blue Shield of California, Kaiser Permanente and UnitedHealth Group's PacifiCare received notices from Brown's office seeking financial and other documents related to pay-for-service health plans.
Brown subpoenaed these plans a month ago for records related to their HMOs, according to the attorney general's office.
The insurers have 30 days to hand over the documents.
Brown's office began looking into HMO practices of reviewing and playing claims submitted by providers such as hospitals and physicians in September 2009. The inquiry sprang from complaints over claims denials of up to 39.6%, according to a news release.
Brown also will look at member premium rate hikes, and whether they are legal under
California law.
“Our best attorneys are going to get to the bottom of this, and where we find violations of California's unfair-business laws, we intend to stop them,” Brown said in a written statement.
An Aetna spokewoman said the insurer is cooperating with Brown's office. Health Net and Anthem said they could not comment because they have not yet received the subpoena.
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