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Illinois fines Blue Cross and Blue Shield of Illinois $339K

March 23, 2022 GMT

CHICAGO (AP) — Illinois is fining the parent company of the state’s largest health insurer — Blue Cross and Blue Shield of Illinois — $339,000 for allegedly violating state law.

The Illinois Department of Insurance said Health Care Service Corp. is facing the penalty because it was late filing documents proving that it’s providing adequate networks of doctors and other providers to patients, the Chicago Tribune reported.

The department said that when Blue Cross stopped including the Springfield Clinic — a private multispecialty clinic in Springfield that serves about 100,000 patients — in its network, it was supposed to submit updated filings showing how it would continue to ensure central Illinois patients would have adequate access to in-network doctors and providers.

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But the insurance company was 244 days late and 95 days late in submitting the related documents, the state Department of Insurance said. The late fees being imposed are $1,000 a day.

Health Care Service has 10 days to contest the fine.

Harmony Harrington, Blue Cross vice president of government and community relations, said the company is evaluating the state’s decision and deciding on next steps.

Harrington said Blue Cross began working with the state Department of Insurance when contract negotiations began last May with the Springfield Clinic.

“As we evaluate the department’s decision, we will continue to work collaboratively and in compliance with applicable laws and regulations while ensuring access, affordability and quality in health care for the more than 8 million members we cover,” Harrington said.