California Health News

Some Anthem grandfathered members will be receiving a refund

Anthem Blue Cross of California

Class Action Lawsuit Funds To Be Distributed To Some Anthem Grandfathered Plans

January 3, 2017

Individual grandfathered members enrolled in Anthem Blue Cross Life & Health Insurance Company (CDI regulated) policies at least one day in September of 2016 will be receiving a refund as a result of funds left over from a 2013 settlement of a class action lawsuit (Kreuzhage v. Anthem). This includes the majority of the grandfathered members. Members on Affordable Care Act (ACA) On and Off Exchange plans, and grandfathered members on Anthem Blue Cross (DMHC regulated) plans are not included.
The refunds will be issued the first week of January 2017. Each member will receive a refund amount of $18.30. This amount was arrived at by taking the total remainder of the class settlement fund, divided by the current number of Individual members as of September 30, 2016. The refund check will include a brief description explaining what the check is for.
Why are these grandfathered members receiving a refund?
The Judge who presided over the class-action has ordered Anthem to pay the remainder of the settlement funds to current Anthem members, even if they were not part of the class action suit. The remainder is there because of returned mail/uncashed checks.
This article applies to: