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Retired EmblemHealth Executives Get Health Coverage Suit Revived

Oct. 21, 2019, 4:40 PM

Retired high-ranking executives of EmblemHealth Inc. will get another chance to argue that company’s attempt to move them from employer-paid health insurance to subsidized health reimbursement accounts violated their separation agreements, after an Oct. 21 ruling by the Second Circuit.

The executives’ claim to retiree health coverage is based on language in their employment and separation agreements, and not on the terms of a benefit plan governed by the Employee Retirement Income Security Act, the court said. The executives’ ERISA claims were therefore properly dismissed, but their claims of breach of contract weren’t preempted by the federal statute and...

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