Judge Daniel Martin of the Superior Court of Arizona, Maricopa County, has granted preliminary approval of a proposed class action settlement in this surprise billing consumer litigation. Class Members, i.e., persons who went to a hospital that was in-network to your health insurance or plan in Arizona and received anesthesia services from Anesthesia Physicians of Arizona or another anesthesia provider affiliated with the Defendants between April 15, 2017 and July 27, 2020, may obtain monetary relief in two forms. First, eligible Class Members who submit valid claims (“Claimants”) may obtain write-offs of any outstanding balances allegedly owed to Defendants; that is, Defendants will write-off the difference between Defendants’ billed rates and the “Allowable Charge(s)” that the Class Member’s health insurance or plan determined represents reasonable reimbursement. Second, Defendants will refund any payments made in excess of the Allowable Charge(s), including payments made after Defendants sold or otherwise transferred interest in the contested debt to a collection agency, to Claimants.
The Settlement also provides nonmonetary benefits for the Class and the larger public through provisions requiring Defendants to request, in writing, that any hospital they contract with make certain specified disclosures, which would alert patients to the possibility of receiving out-of-network anesthesia services in an in-network hospital and allow patients to determine whether the anesthesia providers are in fact out-of-network. In sum, the Settlement enables those injured by Defendants’ alleged unfair and deceptive business practices to make a complete recovery and requires Defendants take steps to prevent consumers from being misled in the future.
The Court has scheduled a final approval hearing to be held on January 29, 2021, at 9 a.m.; any Class Member who wants to object to the settlement or the request for attorneys’ fees must do so by January 8, 2021; any Class Member who wants to exclude themselves from the settlement must do so by December 12, 2020.