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Blue Cross faces Michigan lawsuits on fees charged

By AP

DETROIT –

Blue Cross Blue Shield of Michigan faces lawsuits across the state claiming the insurer charges local governments and others hidden fees to administer health care plans.

The Detroit Free Press reported Tuesday that the cases include a recent jury verdict of more than $1 million for the city of Pontiac.

Blue Cross denies the charges made in the court cases and is considering appeals in the rulings that have gone against it. Blue Cross says its practices were well known to plaintiffs and are common in the industry.

The lawsuits in state courts are separate from an antitrust lawsuit filed against Blue Cross last month by the U.S. Justice Department.

Blue Cross also says it will contest the Justice Department allegations.

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