Health Insurance Nightmare – Coverage Canceled!

June 25, 2009

A Texas woman battling breast cancer fought back against a big health insurance company when it canceled her coverage after she was diagnosed.  It’s little known, controversial, insurance industry practice called rescission.  Companies like Blue Cross Blue Shield dump patients after it’s learned they have a serious illness.  The practice is an outrage, and this woman wasn’t going to take it.  CNN Money’s Jim Acosta shares her fight in this report.   Click here to watch the video and learn more about “rescission” and how patients are denied coverage.

The neutron bomb of health insurance:

By Walter Updegrave and Kate Ashford, Money Magazine

Imagine being insured…and then not being insured. Such situations are on the rise.

(Money Magazine) — Waiting for an overdue reimbursement check is a hassle. Finding that your health insurance has been nullified after you’ve incurred serious medical costs can be an outright catastrophe.

Called “rescissions,” such ex-post policy denials are rare – insurers say they affect only about 1 percent of individual policyholders (they don’t occur in employer-sponsored group plans) – but the practice appears to be growing.

Last year, for example, California regulators launched investigations into the rescission practices of Blue Shield, Health Net, PacifiCare and other providers.   Click here to read more.

Improve your odds of getting the policy benefits you expected:

  • Keep good records
  • Be frank
  • Read the fine print
  • Do your homework
  • Keep your cool
  • Don’t take no for an answer
  • Get help