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A health insurance policy cancelled just when you need it most is a nightmare come true. Blue Cross and Blue Shield will pay 13 million dollars to settle claims investigated by the Governor’s Department of Managed Health Care. But consumer groups claim that’s not enough for leaving policy-holders stuck with tens of thousands in medical bills. Tonight, how widespread is the practice? What’s being done to prevent it from continuing?

Producers:
Karen Radziner
Gary Scott

Main Topic Will Health Insurance Be There When You Need It?
LA City Attorney Rocky Delgadillo has sued Blue Shield for illegally rescinding coverage of 850 policy holders. Blue Shield calls it a “cheap political stunt…without merit.” But without agreeing to wrongdoing, Blue Shield will pay 3 million dollars to settle an investigation of such practices by Governor Schwarzenegger’s Department of Managed Health Care. Anthem Blue Cross will pay 13 million. It’s all about polices sold to individuals not protected by group benefits.

Guests:
Lisa Girion, Los Angeles Times (@lisagirion)
Daniel Zingale, California Endowment (@CalEndow)
Chris Ohman, President of the California Association of Health Plans
Jerry Flanagan, Consumer Watchdog (@jerryflanagan)

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