The Blue Cross Blue Shield (BCBS) class-action settlement is a major legal resolution worth $2.67 billion, aiming to compensate policyholders affected by alleged anti-competitive practices.
If you were insured under a BCBS plan between 2008 and 2020 and filed a claim before November 5, 2021, you might receive an average payout of $333.
Curious about when payments will be made or how they are calculated? Let’s break it all down in simple terms.
Settlement
The BCBS lawsuit accused the company of restricting competition among its member organizations, resulting in higher insurance premiums for individuals and businesses. To settle the case, BCBS agreed to pay billions to impacted policyholders.
Here’s a quick overview of the settlement details:
| Topic | Details |
|---|---|
| Settlement Amount | $2.67 billion |
| Net Settlement Fund | Approximately $1.9 billion (after deductions) |
| Claimants | Around 6 million people filed claims |
| Eligibility Period | Coverage from February 2008 to October 2020 |
| Average Payout | Estimated $333 per claimant (varies) |
| Final Approval Date | August 9, 2022 |
| Supreme Court Ruling | Appeal denied on June 24, 2024 |
| Official Website | www.bcbssettlement.com |
Eligibility
To be eligible for a payout, you must have:
- Been covered under a BCBS health insurance or administrative plan between February 2008 and October 2020.
- Filed a claim before November 5, 2021.
If you missed the deadline, unfortunately, you cannot submit a new claim.
Payment
The amount each claimant receives depends on:
- Total premiums paid during the eligible period.
- Number of claimants who filed for compensation.
- Legal and administrative expenses deducted from the total settlement.
How Much Will You Get?
After deducting legal fees (about 25 percent of the settlement) and administrative costs (around $100 million), the net settlement fund is estimated to be $1.9 billion.
With six million claimants, the average payout is expected to be $333 per person, but your actual payment may be higher or lower depending on how much you paid in premiums.
Status
- The final approval of the settlement was granted on August 9, 2022.
- The U.S. Supreme Court denied an appeal on June 24, 2024, confirming the settlement’s legitimacy.
- Claim determination notices are currently being sent to eligible individuals.
- Payments will be distributed once all claims are reviewed and finalized.
If you have not received an update, check your email or visit the official settlement website for the latest news.
Important Details
If you receive a claim determination notice and believe the premium amount is incorrect, you have 30 days from the notice date to dispute it. You will need to submit supporting documents to request a correction.
How Will You Get Paid?
Claimants may choose their preferred payment method, which may include:
- Mailed check
- Electronic debit card
- Digital payment platforms (PayPal, Venmo, etc.)
Tax Implications
Your settlement payment might be taxable. Consult a tax professional to know whether you need to report it on your tax return.
The BCBS settlement is a significant financial resolution for those affected by higher insurance premiums due to alleged anti-competitive practices. If you filed a claim, keep an eye out for claim determination notices and payment updates. Stay informed by regularly visiting the official website.
FAQs
Who is eligible for the BCBS settlement?
Anyone insured under a BCBS plan from 2008 to 2020 who filed a claim before November 5, 2021.
How much will I receive from the settlement?
The average payout is around $333, but actual amounts vary based on premiums paid.
When will the BCBS settlement payments be made?
Payments will be sent once all claims are reviewed and finalized.
Can I dispute my claim payout amount?
Yes, you have 30 days from your claim notice date to dispute and provide supporting documents.
Where can I check the status of my claim?
Visit www.bcbssettlement.com for real-time updates on claim status and payments.
