Friday, April 17, 2009


Nationwide Insurance sued over fixed-payment health policies

A national insurance company is being sued for millions of dollars for selling fixed-payment health plans that, according to plaintiffs, violated minimum standards in Washington and had not been authorized by the state.

In the case filed Wednesday against Nationwide Life Insurance Co. in U.S. District Court, John Gabriel and Lauren Gustafson-Omer, both of Seattle, and Ruth Bjorklund, of Bainbridge Island, asked that it be made a class action covering 465 others in the state who bought Nationwide health plans through employers between April 16, 2003, and Aug. 27, 2008...

...Eleanor Hamburger, a lawyer for the plaintiffs, said if class-action status is approved and the complaint is upheld, consumer protection violations alone could exceed $4.6 million - $10,000 per insured - and other damages could boost the total to more than $7 million...

Seattle Times: Nationwide Insurance sued over health policies

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