The U.S. Supreme Court has agreed to decide whether health plans can sue to recover benefits from a person who also collects from another source.
In the case, an insurance company paid more than $400,000 in medical benefits for a woman injured in an accident. But it recouped only about $13,800 from a $650,000 settlement she later received. (Great-West Life & Annuity Ins. Co. v. Knudson, No. 99-1786)
In a separate ruling, the Supreme Court refused a case concerning how apolicy created before the enactment of the affects benefits today. In the case, the 7th U.S. Circuit Court of Appeals let the company use its pre-1979 pregnancy policy to calculate benefits in 2000. (Communications Workers of America v. Ameritech Benefit Plan Committee, 00-864)
The Equal Employment Opportunity Commission, however, has said that pregnancy should be treated the same as other temporary disabilities when calculating seniority.
- How to Fire an Employee the Legal Way: 6 Termination Guidelines
- Safety violations cost Cintas $3 million in 3 months
- Coincidental timing alone does not make a retaliation claim
- Settling case? Prevent a second lawsuit by including promise not to reapply
- Talking the talk: Be careful with these 5 'lightning rod' terms