Carle Foundation Is Latest Employer Sued Over Smoker Penalty (1)

Illinois health system Carle Foundation was hit with a proposed class action challenging its alleged practice of charging workers who smoke more money for their health insurance.

Carle charges workers who use tobacco products an additional $650 each year for health coverage without providing a reasonable alternative standard for avoiding the entire penalty, according to a complaint filed in the US District Court for the Central District of Illinois. Carle allows workers to avoid the extra payments on a forward-looking basis if they complete a smoking cessation program, but there’s no way to have the penalty removed retroactively, Carle employee ...