Blue Cross Blue Shield Settlement: When will BCBS Settlement be paid?

Learn more about the Blue Cross Blue Shield Settlement and when payments will be distributed from this article. It covers extensive information regarding the timing of the BCBS Settlement payments and other important aspects related to the settlement.

Blue Cross Blue Shield Settlement

On October 16, 2020, a lawsuit against BCBS reached a settlement, benefiting companies and individuals who purchased insurance from Blue Cross Blue Shield. The settling parties include BCBSA and Individual Blue Plans.

For updates on claim status, access to important documents, key dates, lawsuit details, court orders and notices, application links, and other pertinent information about this settlement, visit the official website of the Blue Cross Blue Shield Settlement.

Why is there a BCBS Settlement?

The class representatives alleged that the defendants violated antitrust laws by agreeing to restrict competition in the sale of health insurance and administrative services. They claimed the defendants colluded to avoid competing among themselves.

The defendants denied these allegations, arguing that their practices actually improved healthcare access and lowered costs. Eventually, both parties—the defendants and plaintiffs—reached a settlement agreement.

If approved, the defendants will establish a $2.67 billion fund. Additionally, they will commit to changing their business practices to enhance competition opportunities.

Who is a Class Member?

If you had health insurance coverage or any administrative service plans with this company between February 7, 2008, and October 16, 2020, you may qualify as a Class Member.

The settlement periods are as follows:

  • February 7, 2008, to October 16, 2020, for Insured Groups/Individuals
  • September 1, 2015, to October 16, 2020, for Self-Funded Accounts

It’s important to note that government accounts are not included in this Class. The settlement primarily involves two classes: an Injunctive Relief Class and a Damages Class.

Blue Cross Blue Shield Settlement Key Dates

Check the key dates –

November 5, 2021Claim Filing (for damaged class)
May 2, 2022 (Self-Funded Entity Accounts) | July 28, 2021 (remaining classes)Opt-Out
May 2, 2022 (Self-Funded Entity Accounts) | July 28, 2021 (remaining classes)Object
October 20-21 (2021)Hearing

For members of the damaged class, the deadline to file a claim was November 5, 2021. Failure to take action means they will not receive any payment, forfeit their right to sue the defendants, and be legally bound by the terms of the settlement.

BCBS Settlement Benefits

Class members are set to receive payments as part of the agreement, with the settlement fund estimated at $1.9 billion. This amount represents the remaining balance after deductions for administration expenses, attorneys’ fees, and other costs from the original $2.67 billion fund.

One of the Settlement Classes is Injunctive Relief, which entails the companies agreeing to modify their business practices. To oversee these changes, a monitoring committee will be established for a period of 5 years.

For further details regarding the settlement, including information about class members, fund allocation, agreement specifics, benefits, and more, please refer to the FAQs section on the BCBS Settlement website.

When will BCBS Settlement be paid?

Payments will only be distributed to individuals who submitted their claims before the deadline. The approval of the BCBS Settlement is pending court decision. Once approved and any appeals are resolved, payments will be issued accordingly.

The Eleventh Circuit Court of Appeals recently affirmed their approval of the settlement on October 25, 2023. Any further appeals must be submitted by the first quarter of 2024. Additional updates on the settlement and payment distribution will be provided in February 2024.

The $1.9 billion settlement fund will be split into two parts: a $1.78 billion fund for Insured Groups and Individuals, and a $120 million fund for Self-Funded Accounts. Both funds will be disbursed separately.

How to Check the Blue Cross Blue Shield Claim Status?

To check their claim status, individuals can use the Unique ID or Claim Number provided in the notice from the Administrator. This 10-digit Unique ID includes a combination of numbers and letters.

To check your BCBS claim status:

  1. Visit the official website of the BCBS Settlement.
  2. Click on the “Check online claim status” option.
  3. Enter your Unique ID or Claim Number, which was provided in the notice from the Administrator.

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