Health Insurance Coverage Disputes

It is perhaps not surprising that health insurance companies don't always live up to the obligations they owe their insureds. That is an understatement when it comes to the most immoral practice in the industry:  Rescission.  Rescission occurs when a policyholder falls ill and the insurance company does not want to pay the mounting bills.  Instead of paying what is owed, the insurance company undertakes a practice called "post-claims underwriting."  That is a fancy label for when the company scours the medical records of its policyholders for any sort of inconsistency or discrepancy with what the policyholder disclosed in the application to obtain insurance, sometimes many months or even years before the policyholder gets sick.  If they find a discrepancy, often one which has nothing to do with the disease their policyholder is suffering from, bingo:  You are accused of fraud, your policy is rescinded and canceled, and in perhaps the most vulnerable state you have ever been in, you find yourself or a loved one sick and with no way to pay for lifesaving treatment.  In fact, in testimony before Congress, three major companies (Wellpoint, Assurant, and United Health) admitted rescinding almost 20,000 policies in a four year period, resulting in over $300,000,000 in combined savings for medical bills they avoided paying.

Common abuses include rescinding valid policies when:

• discrepancies are unintentional or caused by others;
• medical conditions are unknown to the policyholder;
• discrepancies are unrelated to the care being sought; and
• coverage is rescinded for family members who were not involved in the application process.

The insurance company counts on the fact that, for most its customers, their intimidating letters and accusations will keep them from seeking help from an attorney before it is too late.  Do not let this happen to you.  If your insurance policy has been rescinded or canceled for alleged undisclosed medical conditions, you may be entitled to damages for not only the coverage owed, but for mental anguish, pain and suffering, as well as damages for any injuries you or a loved one suffered because they did not timely receive treatment which should have been covered and paid for by the insurance company.

In one recent case, the Feldman Law Firm, P.C. recovered $1.36 million in a settlement (with $480,000 in legal fees and $10,000 in case expenses) in less than six months from filing the case where a major insurance company canceled coverage of  a grievously ill policyholder suffering from cancer.  Although every case is different, and we cannot guarantee this result, please know that if you hire us, the Feldman Law Firm, P.C. will work tirelessly to recover the maximum damages available to you and hold the insurance companies to full account for wrongfully rescinding or denying coverage.

The Feldman Law Firm, P.C. actively seeks rescission cases, policy cancellation cases, or instances where an insurance company denies coverage for treatment that they arbitrarily label "experimental."

Contact the Feldman Law Firm, P.C. now to discuss your Health Insurance Rescission or Coverage dispute.