Minnesota AG Settles with Blue Cross Blue Shield over Mental Health Parity

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  • Minnesota AG Keith Ellison has reached a settlement with BCBSM, Inc. d/b/a Blue Cross and Blue Shield of Minnesota, and HMO Minnesota d/b/a Blue Plus (collectively, “Blue Cross”) to resolve allegations that the insurer violated the state’s mental health parity laws.
  • According to the settlement, Blue Cross allegedly failed to comply with mental health parity requirements regarding prior authorization for some behavioral health codes and reimbursement rates for some behavioral health providers, among other things.
  • Under the terms of the settlement, Blue Cross is subject to a stayed civil penalty of $300,000 and will contribute $600,000 for use by the Center for Rural Behavioral Health, among other things.
  • We have previously reported on New York AG Letitia James and the U.S. Department of Labor’s settlement with UnitedHealth Group Inc. to resolve similar allegations.
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