A federal jury in Little Rock has awarded 175 emergency department doctors, nurse practitioners, and physician assistants more than $9.4 million.
When the Affordable Care Act went into effect, the insurance company claimed that a 2011 contract between the physicians’ organization and the insurance company no longer applied. However, a jury of three men and three women unanimously concluded that the contract pertained to a new insurance policy released in 2014. The insurer breached the contract by paying but a fraction of what it owed to the doctors.
Representatives were out of reach.
Steven Cady, counsel for Centene, said the company will release a statement at an appropriate time. Lyn Pruitt of Mitchell, Williams, Selig, Gates, and Woodyard, a local company representing the defendants, did not return a reporter’s call.
Attorneys for Knoxville-based Southeastern Emergency Physicians, LLC, a subsidiary of TeamHealth Inc., said the final award could hit $13 million with legal fees and interest.
It was led to U.S. District Judge Kristine Baker, who presided over it for nearly three years until June 16, when the Mitchell-Williams firm, the judge’s husband is an attorney, joined the defense, prompting her recusal.
The doctors’ group claimed that the defendants brought in the Mitchell firm on purpose. They’re hoping to delay the case and be concerned about her previous rulings refusing to dismiss the case and allowing the plaintiffs to add claims, which they referred to as a judge-shopping gambit. On the other hand, Miller declined to disqualify Mitchell and send the case to Baker, claiming that the defendants have the right to choose their attorneys.
According to a press statement released by the plaintiffs, one of many lawsuits TeamHealth has filed against various insurers across the country to prohibit insurance companies from underpaying ER doctors to keep the money for their own pockets. These doctors have an essential role in the communities. Worst they’re hang underpaid by several immensely profitable insurance corporations.
The plaintiffs cited evidence produced at trial and said that Centene tried to disguise their ownership of the firms and the corporations responsible for paying the doctors.
Large and profitable health insurance companies are using their market power to systematically underpay doctors, cancel contracts, and further boost their record profits.
According to John Zavitsanos, plaintiff attorney, “They treated commercial insurance claims like medical payments, they tried to hide which company owed the money, that paid late. Their cavalier attitude toward these essential workers was abominable.”