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March 24th, 2007

Insurer Fined for Dropping the Sick and the Pregnant

From the WSJ Health Blog: Insurer Fined for Dropping the Sick and the Pregnant

Blue Cross of California was fined $1 million for cancelling the insurance policies of people who were sick or pregnant, the Los Angeles Times reports today.

The company pulled individual policies held by people who didn’t have coverage through their employers or other groups, according to an investigation by state regulators. The details are sobering. Among 90 randomly selected policy cancellations, the regulators found violations in all 90.

I wish I could say that I am shocked and surprised by this news. But I’m not.

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