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HMO Members' Suit Against Aetna Dismissed

August 18, 2000|Bloomberg News

Aetna Inc., the biggest U.S. operator of HMOs, does not have to face a racketeering lawsuit accusing it of misleading consumers about the quality of its health care, the U.S. 3rd Circuit Court of Appeals ruled in Philadelphia. The court upheld dismissal of the suit alleging that Aetna engaged in false advertising by promising to deliver top-notch health care while encouraging cost-cutting by doctors. The ruling is another setback for consumers and plaintiffs' lawyers who have filed a wave of suits against health insurers alleging subpar care to HMO members. The suits seek to recover millions of dollars for consumers who allegedly were denied adequate medical treatment. The Philadelphia suit was filed in April 1999 by three Aetna HMO members.

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