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PacifiCare sues state insurance commissioner over $173 million fine
San Francisco Business Times

PacifiCare Life and Health Insurance Co. sued California Insurance Commissioner Dave Jones on Thursday over his decision to impose a $173.6 million fine on the company for alleged mishandled claims and underpayments to doctors following its merger with UnitedHealthcare in 2006. Most of the problems were self-identified and administrative in nature, according to PacifiCare. All have been resolved. The commissioner’s June 9 decision to impose the fine ignores an administrative law judge’s finding in August 2013 that the penalty should be $11.5 million, PacifiCare notes in the lawsuit.