Allstate Medpay and PIP
On November 25, 2009, an Illinois state court granted final approval of a settlement in a class action lawsuit against Allstate Insurance Company and certain of its related entities.
The settlement resolves a class action lawsuit concerning Allstate's alleged improper failure to pay, in whole or in part, medical expense benefits under the Medical Payments or Personal Injury Protection coverage afforded in Allstate's automobile and homeowner insurance policies, nationwide, based on Allstate's use of procedures, including ADP/MBRS computer recommendations, to adjust claims for payment of such benefits
The class consists of all persons who, during the period from October 26, 1989 through July 16, 2009, were injured in an automobile accident while drivers or passengers in an automobile insured by Allstate, or submitted a homeowner's claim to Allstate under a homeowner's policy, and (a) who submitted claims under PIP or Med Pay coverage for payment of medical bills to Allstate; (b) had those medical Med Pay or PIP claims adjusted with the use of an ADP/MBRS computer recommendation; (c) received an amount less than the amount of the submitted medical expenses; and (d) received or were tendered an amount less than the full amount of the stated Med Pay or PIP policy limits; as well as all medical providers and entities who, by written assignment, have the right to assert the claims. The settlement class excludes directors and officers of Allstate and members of a certain other settlement class.
Class Members who submit a valid claim form shall, subject to the applicable policy limits, potentially receive 60% of the difference between the amount of the bills submitted and the amount previously paid by Allstate, as established by the documentation submitted by the Class Member and/or Allstate. Denials or reductions for duplicate bills or exhaustion of policy limits, however, are excluded, and claims payments are subject to the terms of the Stipulation of Settlement and the applicable policy limits. If valid claims are made by both an insured person and a medical provider for the same medical bill, Allstate will submit the claim of the insured and medical provider to a neutral evaluator, who will then determine the distribution.
The deadline to submit claims is February 8, 2010. For more information, please visit: http://www.strasensettle.com/. You may also call 888-236-0299 for information.
SLChapman LLC regularly represents medical providers and consumers in class action litigation. Those seeking more information may contact the firm at medicalbillreview@lakinlaw.com (medical providers) or classaction@lakinlaw.com (consumers), or call (800) 851-5523.
