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USAA Sued for Using Sham Medical Reviews to Underpay Claims
Posted on May 17, 2011
According to an article in the Houston Chronicle, Texas-based USAA has been sued for utilizing a sham medical review firm in order to justify its underpayments and denial of medical bills for insurance customers injured in automobile accidents. This is not the first time USAA has been accused of such conduct. USAA previously settled two class-action lawsuits that accused it of using flawed data to arbitrarily deny a portion of the medical benefits for injured customers who have personal-injury protection (PIP) or other medical-payments coverage on their USAA auto-insurance policies. The value of these prior settlements has not been finally determined, but according to the article they exceed $35 million dollars. The allegedly sham medical review firm is Auto Injury Solutions based in Alabama.
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