News Headlines Article

New rules protect against health policy revocations
Sacramento Bee

Health insurers, long under fire by consumer protection groups for the practice known as rescission, now have the onus of proving fraud before canceling the coverage of subscribers who run up big medical bills.

The consumer protection, made possible by Assembly Bill 2470, went into effect this year to conform with the federal health care law, which as of last fall outlawed rescissions based on innocent or minor consumer mistakes.