Aetna pays $750,000 fine for errors in Healthy NY oversight

[Ardent15]

A series of consumer complaints resulted in a $750,000 fine against Aetna for violating New York insurance law in its administration of the Healthy NY program over a 21-month period.

Aetna Health Inc., a health maintenance organization (HMO), paid the fine as part of a settlement with the New York State Insurance Department, over the state-subsidized program that assists small business owners in providing coverage to employees and their families. Sole proprietors and workers without employer-sponsored plans can also purchase coverage directly through Healthy NY.

According to the NYSID, Aetna’s violations included failure to provide adequate written notice of premium increases, failure to provide terminated members with notice of conversion rights, failure to report important enrollment data, and failure to timely and adequately respond to the department’s request for enrollment data.

Regulators said Aetna has implemented changes in management and oversight of the HMO’s participation in the Healthy NY program and agreed to take additional steps to remedy past problems and future recurrences.

--------

http://ifawebnews.com/2010/02/05/aetna-pays-750000-fine-for-errors-in-healthy-ny-oversight/

[Newsjock]

1. Petty cash to those thugs

Not even a blip on the balance sheet.