California Supreme Court will hear CMA lawsuit against Aetna regarding the right of membership organizations to pursue unfair practices lawsuits
July 30, 2021
Area(s) of Interest: Advocacy
The California Supreme Court has granted the California Medical Association’s (CMA) petition for review in a lawsuit against Aetna surrounding the insurance company’s practice of denying patients’ rights to out-of-network benefits and threatening physicians who refer patients to out-of-network providers.
The decision is a major legal victory for CMA, and for patients throughout California. The California Supreme Court receives over 1,000 civil petitions for review annually but only grants around 2-3% of those requests.
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(California Insurance Code Section 5335(b) Bars Defense
of Insured for Action Brought by the Attorney General s Office
for Violation of California s Unfair Competition Law and False
advertising Law)
(July 2021) - In
Adir International,
LLC
v. Starr Indem. and Liability Co., 994 F.3d 1032
(April 15, 2021) ( AG lawsuit ), the United States Ninth
Circuit Court of Appeals affirmed the district court s
dismissal of a declaratory relief action filed by Adir
International, LLC ( Adir ) against Starr Indemnity and
Liability Company ( Starr ) arguing that a duty to defend
was owed under Starr s directors and officers policy for an
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