Bodner, et al. v. Blue Shield of California Life and Health Insurance Company
SUPERIOR COURT OF THE STATE OF CALIFORNIA FOR THE COUNTY OF LOS ANGELES
IF YOU ARE CURRENTLY ENROLLED OR HAVE EVER BEEN ENROLLED IN A VITALSHIELD HEALTH INSURANCE POLICY FROM BLUE SHIELD OF CALIFORNIA LIFE AND HEALTH INSURANCE COMPANY, YOU COULD RECEIVE MONETARY BENEFITS FROM A CLASS ACTION SETTLEMENT.
- This settlement notice relates to a class action brought by two individuals who allege that when Blue Shield of California Life and Health Insurance Company (“Blue Shield”) administered claims by enrollees of its Vital Shield policies, it wrongfully failed to count certain out-patient medical services towards deductibles and out-of-pocket maximums.
- On January 28, 2020, the Court preliminary approved a settlement of this class action (the “Settlement”).
- This Settlement provides that Blue Shield will cause $12.5 million (“Gross Settlement Amount”) to be paid to the Class. After payment of attorneys’ fees, litigation expenses, named plaintiff incentive awards, and settlement administrative expenses, the remainder (“Net Settlement Fund”) will be distributed to the Class Members in the following manner:
- Class Members will receive a Settlement Check in a pro rata amount of the health insurance benefits they would have received if Blue Shield had counted the medical services towards their deductibles and out-of-pocket maximum with the following minimum payments:
- Class Members who are still Vital Shield enrollees as of January 1, 2019, will receive a minimum $50.00 distribution.
- Class Members, who are no longer Blue Shield enrollees as of January 1, 2019, and whose pro-rata distribution would be less than $10.00, will receive a minimum $10.00 distribution.
- Blue Shield denies the allegations in the lawsuit, and the two sides disagree on the likely outcome of the case if it goes to trial.
- Court-appointed lawyers for the Class will ask the Court to award them a fee equal to 33 and 1/3% of the Gross Settlement Amount ($4,166,250.00) plus reimbursement of expenses incurred in prosecuting this lawsuit, not to exceed $653,433.46, to be paid from the Gross Settlement Fund. Class Counsel also intends to ask the Court to grant the Class Representatives an incentive award not exceed $10,000.00 each.
- Your legal rights are affected whether you act, or don’t act. Refer to the FAQ for a thorough explanation.
- Please note the Notice of Restricted Access to Courthouse here.
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YOUR LEGAL RIGHTS AND OPTIONS IN THIS SETTLEMENT: |
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DO NOTHING |
If this Settlement is approved, and you do nothing, you will remain a Class Member and will receive the Settlement Check in the estimated amount identified to you in the Notice. |
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EXCLUDE YOURSELF APRIL 28, 2020 |
If you choose to exclude yourself, you will not receive the benefits available under the Settlement. You must submit a timely written request to exclude yourself from the Settlement to the Settlement Administrator by April 28, 2020. |
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OBJECT APRIL 28, 2020 |
You may write to the Settlement Administrator about why you do not like the Settlement. Written objections must be sent to the Settlement Administrator no later than April 28, 2020. Making an objection does not exclude you from the Settlement. If the Settlement is approved, you will be subject to the Settlement and will be bound by the Release, described in response to Question 12. |
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DISPUTED ESTIMATED SETTLEMENT CHECK APRIL 28, 2020 |
You may write to the Settlement Administrator about why you believe your estimated Settlement Check is incorrect. Written statements of dispute must be sent to the Settlement Administrator no later than April 28, 2020. A written statement of disputes does not exclude you from the Settlement. If the Settlement is approved, you will be subject to the Settlement and will be bound by the Release, described in response to Question 12. |
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GO TO THE HEARING July 14, 2020 AT 9:00 A.M. |
The Final Approval Hearing regarding the fairness of the Settlement is set for July 14, 2020 at 9:00 a.m. |
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APPEAR THROUGH AN ATTORNEY |
If you desire, you may enter an appearance in this case through an attorney at your own expense, but you will still need to comply with the requirements for objecting to the Settlement and appearing at the fairness hearing. |
- These rights and options—and the deadlines to exercise them—are explained in the Frequently Asked Questions
- This is merely a summary of the terms and provisions of the proposed Settlement. For a complete description of the terms and provisions of the proposed Settlement, including certain exceptions, conditions, and limitations that may not be addressed herein, you should read the Settlement Agreement filed with the Court and available here or by calling 855-582-3160. Capitalized terms in the Notice have the meanings assigned in the Settlement Agreement.
- The Court in charge of this case still has to decide whether to approve the Settlement. Please be patient.