Allied Benefits Will Pay Sovereign Health Workers’ Medical Bills

Allied Benefits Systems Inc. will process and potentially pay as much as $2.4 million in medical expenses for employees of Sovereign Health, resolving a class action in the Central District of California.

The proposed settlement, announced Monday, requires Allied to pay unpaid medical claims, process and potentially pay claims that have gone unprocessed, and reimburse Sovereign employees for certain out-of-pocket medical expenses.

It’s “not hyperbole” to say this settlement “delivers 100 percent relief to the class,” the parties said in their settlement motion.

The lawsuit centers on Sovereign’s health plan, which is funded by the company and not through an ...