News Briefs: Judge Allows RICO Suit Against Centene to Proceed
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May 10, 2024
A federal judge on May 2 ruled that the majority of claims against Centene Corp. can move forward in a lawsuit that accuses the insurer of defrauding customers via its marketing of Affordable Care Act exchange plans. The suit, filed in August 2022, accuses Centene and two of its subsidiaries of misleading consumers by publishing provider directories that are not up to date and that misrepresent the benefits that members will receive when they purchase an Ambetter insurance plan. Those primarily low-income consumers then have trouble finding providers who will take their insurance, according to a press release from the law firm representing the plaintiffs. The suit claims that this alleged scheme violates the Racketeer Influenced and Corrupt Organizations Act (RICO) and numerous state laws, and attorneys for the plaintiffs are seeking to certify the lawsuit as a class action. Read more
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