Health Plans’ Anti-Assignment Clauses Upheld by Third Circuit

May 16, 2018, 6:39 PM

Two Blue Cross Blue Shield entities convinced a federal appeals court not to revive a lawsuit by a surgery center seeking to recover more than $50,000 in unpaid medical expenses for services rendered to an insured.

American Orthopedic & Sports Medicine couldn’t sue on behalf of the insured because his plan had an anti-assignment clause—a provision that seeks to bar insureds from assigning their claims to any third party, including the health-care provider that rendered the service. Anti-assignment clauses in health insurance plans covered by the Employee Retirement Income Security Act are enforceable, the U.S. Court of Appeals for the ...

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