"When insurers like United create convoluted and dishonest systems for determining the rate of reimbursement, real people get stuck with excessive bills and are less likely to seek the care they need," Cuomo said in a statement. In one example, cited by the attorney general, "United insurers knew most simple doctor visits cost $200, but claimed to their members the typical rate was only $77. The insurers then applied the contractual reimbursement rate of 80 percent, covering only $62 for a $200 bill, and leaving the patient to cover the $138 balance."
According to Cuomo's office, although United insurers and Ingenix are owned by the same parent corporation, United HealthGroup, when members complained their medical costs were unfairly high, the United insurers allegedly hid their connection to Ingenix by claiming the rate was the product of "independent research."
The attorney general's notice of intent to sue names UnitedHealth Group and its subsidiaries, United HealthCare Insurance Company of New York, Inc., United Healthcare of New York, Inc., United Healthcare Services, Inc. and Ingenix.
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