Government
Portland hospital system settles charges it overbilled the uninsured
NEWS IN BRIEF — Posted Nov. 21, 2005
A Portland nonprofit hospital system has settled claims alleging it overcharged uninsured patients for services. Providence Health System in Oregon, a network of hospitals, physicians, clinics and health plans in the Pacific Northwest, will recalculate charges for uninsured patients in the first class-action settlement of its kind. The agreement covers a six-year span, including the past four years and going two years into the future. The total cost was not announced.
A spokesman said the hospital disagreed with the charges but settled to avoid the costs and distraction of trial.
Attorneys representing patients have filed more than 60 lawsuits around the country challenging the billing practices of nonprofit hospitals. Most have been dismissed.
One Mississippi health system tentatively settled claims in 2004 but later withdrew from the agreement. A subsequent lawsuit filed against the system was dismissed.
Note: This item originally appeared at http://www.ama-assn.org/amednews/2005/11/21/gvbf1121.htm.
