California Medical Association vs. Aetna U.S. Healthcare of California
Year 2001
Court California Supreme Court
Case Number S103631
  • Bad Faith
  • California

Health Plans play the same function as health insurers and should be held to the same standards. Policyholders reasonably expect adequate payment by health plans for their healthcare. Because inadequate payment to physicians could compromise the quality of healthcare, underfunding intermediaries and not paying physicians violates the state’s unfair competition laws.