Health and Safety Code section 1389.3 was designed to stop the practice of post-claims underwriting. Blue Shield should not be allowed to engage in post-claims underwriting and rescind its policy when it fails to sufficiently investigate and turns a blind eye to information it either knew or had access to and ignored.
Hailey vs. California Physicians’ Service dba Blue Shield of California
Year
2006
Court
California Court of Appeal, 4th District, Division 3
Case Number
GO35579
Issue
- Post Claims Underwriting
State
- California