March 14 Health insurer Aetna Inc said
on Friday it would not go forward with a proposed $120 million
settlement with healthcare providers and plan members regarding
out-of-network reimbursement after claimants opted out of the
suit and triggered a provision enabling it to cancel the deal.
Aetna, which had agreed to settle in December 2012, said in
a filing with the U.S. Securities and Exchange Commission that
it would not move forward with the final settlement.
The company did not disclose how many claimants had opted
out of the settlement but said that providers and plan members
who chose to opt out of the settlement exceeded a threshold that
allowed Aetna to end the settlement.
The threshold was $20 million in value represented by the
difference between charges providers billed for out-of-network
services and the insurer's allowed amount that it agreed to pay
on those services, the company said.
Aetna, which had set aside reserves for the settlement, said
they would be added back into its results as earnings and
accounted for as a special item.
Aetna spokeswoman Cynthia Michener said the company would
resume its defense in court.