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Judge OK’s Health Net and Prudential Settlement

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By staff-author
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Health Net Inc. and Prudential Financial Services will pay about $167 million to settle a class action suit with about 950,000 doctors across the country. Doctors have brought a suit to 10 of the nation’s largest HMOs, and a U.S. District Court Judge has approved four settlements. Under this agreement, Health Net will pay $40 million to active and retired doctors and $80 million to improve the processing of doctors’ bill submissions. It will also pay $20 million in doctors’ attorney fees. Prudential will pay about $27.5 million to improve managed care and settle attorney fees.

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