UPMC seeks case consolidation, alleges Highmark pocketed bulk of premium hikes

Posted by Adam Kenny 18 Jul, 2011

The University of Pittsburgh Medical Center University of Pittsburgh Medical Center Latest from The Business Journals UCSF, Stanford hospitals make U.S. News’ top 20 hospitals list (again)UPMC, Allegheny General recognizedPitt receives .3 million grant Follow this company on Wednesday filed a motion in the U.S. District Court in Pittsburgh, seeking to consolidate a lawsuit recently filed by Highmark Highmark Latest from The Business Journals Senate committee plans hearingsHighmark, UPMC contract negotiations may cause issues for Medicare Advantage membersHighmark sues UPMC over advertising Follow this company Inc. with one filed in 2009 by West Penn Allegheny Health System West Penn Allegheny Health System Latest from The Business Journals Senate committee plans hearingsExcela Health doctors, staff must get flu shots or wear masksHighmark sues UPMC over advertising Follow this company against UPMC and Highmark.

In the filing Wednesday, UPMC sought to have this lawsuit consolidated with the 2009 one, which alleged a Highmark-WPAHS conspiracy to squeeze WPAHS out of the market. An appeal in that case is pending before the U.S. Supreme Court.

UPMC’s motion also alleged that Highmark Inc. raised its health insurance premiums to consumers by double digits in recent years at a time when its reimbursement rates to UPMC were only increasing at the rate of inflation.

The practice allowed the Downtown-based company to pocket the difference and amass “huge reserves, which it apparently plans to use to make non-insurance acquisitions,” UPMC alleged in its motion. …

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