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New York Doctors Group Sues 6 HMOs


8-17-2001: ALBANY, N.Y. (AP) - A state doctors group Wednesday sued six leading HMOs, alleging they harmed patients and breached contracts with doctors by denying medically necessary care, reducing reimbursements and denying claims.

The Medical Society, which has 27,000 members, filed its lawsuit in state court in New York City on the same day individual doctors sued the six HMOs in lawsuits that seek class-action status.

Named in the lawsuits are Aetna, Cigna, Empire Blue Cross-Blue Shield, Excellus, Oxford and United Healthcare. They account for nearly half the managed care contracts in New York state, according to the Medical Society.

The lawsuits contend that the HMOs harmed enrolled patients and physicians by the alleged continual denial of medically necessary health care, by ``capricious'' reductions in reimbursement claims, by the use of computer programs which deny claims based on arbitrary guidelines and by breaching the terms of contracts between doctors and HMOs.

``It is a sad comment on the way these insurance carriers conduct business that we have to go to the court system to force them to live up to their obligations,'' said Dr. Robert Bonvino, president of the Medical Society.

The lawsuit is similar to actions brought in courts in New Jersey and Connecticut by physicians in those states.

Paul Macielak, who heads an HMO umbrella group, New York Health Plan Association, called the lawsuit ``a copycat action aimed at enriching doctors' pocketbooks.

``If doctors were truly concerned about patient care, they would use their considerable resources on efforts to improve overall quality of care and reduce medical errors,'' Macielak said.

Among the members of Macielak's group are Aetna, Cigna, Oxford and United Healthcare. A spokeswoman for Empire Blue Cross-Blue Shield was not available Wednesday to comment.

Note From Stewert: unavailable for comment means, if we say we are unavailable for comment long enough maybe the press will just forget about it and we can screw the people and get away with it. HMO's were sold to the people as a cheap health care plan, in reality they are just another way for big business to make money and screw the people out of needed protections and medical procedures.