Health Net

Wachtel v. Health Net/McCoy v. Health Net (D.N.J.) - Disbursement of the settlement proceeds has occurred. Final approval of the settlement of these consolidated class actions was made by the Court in August 2008. The cases involved, among other things, the use of the Ingenix database to determine UCR for out-of-network medical services and Health Net's failure to fulfill disclosure requirements to plan members. A settlement fund of over $200 million cash has been established. In addition, Health Net will make extensive changes to its business practices that is valued at approximately $50 million. These changes include an end to the use of Ingenix as a means to determine UCR; better disclosure about members' plans; improvements to the appeals process; and a cost estimator for determining ONET reimbursement before services are performed. Claims are currently being processed and the funds will soon be disbursed.