Discover how to claim your part of the $2.67 billion Blue Cross Blue Shield settlement. Eligible? Act now to secure your payout before it’s too late!
Introduction to the BCBS Antitrust Settlement
In a landmark legal battle, Blue Cross Blue Shield (BCBS) settled a class-action lawsuit for $2.67 billion, addressing allegations of antitrust violations. This settlement, finalized in 2020, compensates individuals and businesses impacted by anti-competitive practices. With payouts averaging $333, eligible claimants who filed by November 5, 2021, are now receiving notices. This article explores eligibility, the claims process, and what to expect from this historic settlement.
What Is the Blue Cross Blue Shield Settlement?
Background of the Lawsuit
The class-action lawsuit, In re: Blue Cross Blue Shield Antitrust Litigation, began in 2013, accusing BCBS of violating antitrust laws, specifically the Sherman Act.
The lawsuit alleged that BCBS and its affiliated companies divided the U.S. into exclusive service areas, limiting competition and inflating premiums. While BCBS denied wrongdoing, they agreed to a $2.67 billion settlement in October 2020 to avoid prolonged litigation costs and risks.
Settlement Approval and Timeline
The settlement received final approval from the U.S. District Court for the Northern District of Alabama on August 9, 2022. Appeals delayed distribution, but the U.S. Supreme Court denied the final appeal on June 24, 2024, clearing the way for payouts. Claim determination notices are now being sent on a rolling basis, with payments expected to begin in 2024.
Who Is Eligible for the Settlement?
Eligible Groups
The settlement covers two main classes:
- Individuals and Insured Groups: Those enrolled in a BCBS health insurance plan between February 7, 2008, and October 16, 2020.
- Self-Funded Accounts: Employers or entities with BCBS administrative services plans between September 1, 2015, and October 16, 2020.
Eligible claimants include individuals, families, and businesses who paid premiums or administrative fees during these periods. Beneficiaries and dependents may also qualify for injunctive relief.
Key Deadlines
The deadline to file a claim was November 5, 2021. If you did not file by this date, you are not eligible for a payout, even if you meet other criteria. Claimants must now ensure their contact information is updated with the settlement administrator to receive notices and payments.
Eligibility and Payout Details
| Category | Eligibility Period | Claim Deadline | Average Payout | Key Notes |
|---|---|---|---|---|
| Individuals & Insured Groups | Feb 7, 2008 – Oct 16, 2020 | Nov 5, 2021 | ~$333 | Must have paid premiums; no payment if total is $5 or less. |
| Self-Funded Accounts | Sep 1, 2015 – Oct 16, 2020 | Nov 5, 2021 | Varies | Based on administrative fees paid; higher payouts for businesses. |
| Injunctive Relief Class | Feb 7, 2008 – Oct 16, 2020 | N/A | None | Includes beneficiaries/dependents; focuses on structural changes, not payouts. |
How to Claim Your Settlement Payout
Steps to Ensure Payment
If you filed a claim by the deadline, follow these steps to secure your payout:
- Check Your Email or Mail: Claim determination notices are sent on a rolling basis. Verify the Total Premiums Paid or Total Administrative Fees Paid used to calculate your award.
- Dispute if Necessary: You have 30 days from the notice date to dispute the premium or fee amounts with supporting documentation, such as a signed attestation if records are unavailable.
- Update Contact Information: If your email or mailing address has changed, update it with the settlement administrator at Blue Cross Blue Shield Settlement, c/o JND Legal Administration, PO Box 91390, Seattle, WA 98111, or via the official website, www.bcbssettlement.com.[](https://www.upexciseportal.in/2-67b-blue-cross-blue-shield-settlement/)
- Beware of Scams: Only trust updates from the official BCBS settlement website. Avoid fraudulent emails or calls promising “expedited payments.”
Payment Distribution
The $2.67 billion fund, after deducting $667 million for attorney fees and administrative costs, leaves approximately $1.9 billion for claimants. Payments vary based on premiums or fees paid, with 93.5% allocated to fully insured claimants and 6.5% to self-funded accounts. No payment will be made if the calculated amount is $5 or less. Payments are expected via check or direct deposit in 2024.
What Does the Settlement Mean for You?
Financial Compensation
With about 6 million claimants, the average payout is approximately $333, though amounts vary based on premiums paid and whether the claimant is an individual or business. Businesses typically receive higher payouts due to larger premium contributions. Claimants can review their award calculations before funds are distributed and challenge inaccuracies.
Injunctive Relief
Beyond financial compensation, the settlement includes injunctive relief to increase competition in the health insurance market. BCBS must:
- Eliminate restrictions on member plans competing outside their service areas.
- Increase transparency in pricing and competition practices.
- Allow a monitoring committee to oversee compliance for five years.
These changes aim to lower premiums and improve consumer options in the future.
Additional Settlement for Providers
Provider Settlement Overview
Separate from the subscriber settlement, BCBS reached a $2.8 billion settlement with healthcare providers, including physicians, hospitals, and other facilities. This settlement, which received preliminary approval in December 2024, addresses similar antitrust allegations. Providers have until July 29, 2025, to file claims, with a March 4, 2025, opt-out deadline for those considering separate lawsuits.
Why It Matters for Providers
This settlement improves transparency and efficiency in provider interactions with BCBS, potentially streamlining reimbursement processes and increasing accountability. Psychologists and other providers who treated BCBS-insured patients may be eligible.
Industry Implications
Changes in Health Insurance Practices
The BCBS settlement sets a precedent for antitrust scrutiny in the health insurance industry. By requiring BCBS to alter anti-competitive practices, it may lead to:
- Increased competition among insurers, potentially lowering premiums.
- Greater transparency in pricing and market practices.
- Potential for similar lawsuits against other insurers.
Broader Impact
The settlement highlights the power of class-action lawsuits in addressing systemic issues in healthcare. It may encourage other industries to adopt more consumer-friendly policies under regulatory pressure.
Conclusion
The $2.67 billion Blue Cross Blue Shield settlement is a historic resolution to antitrust violations, offering financial relief to millions of subscribers and structural changes to the health insurance market. If you filed a claim by November 5, 2021, monitor your email for claim notices and update your contact details to ensure payment. The separate $2.8 billion provider settlement further underscores BCBS’s commitment to reform.
Stay informed via www.bcbssettlement.com and act promptly to secure your share of this landmark payout. This settlement not only compensates affected parties but also paves the way for a more competitive and transparent health insurance industry.
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