UnitedHealth sues TeamHealth, saying it overpaid $100 million in claims

UnitedHealthcare has sued TeamHealth Holdings alleging fraud for about-inflating health care codes to get higher reimbursement.

In a person illustration, a 23-12 months-previous gentleman sought procedure for indigestion right after consuming a chili dog and the medical doctor gave him Maalox and sent him home, UnitedHealth said in the lawsuit. “TeamHealth submitted a claim to the United Plaintiffs indicating that it experienced delivered that member with crisis health care care of notably superior complexity below exigent instances,” the grievance said. The organization allegedly charged UHC $one,712.

TeamHealth CEO Leif Murphy replied to the lawsuit with this statement: “Courts have consistently dismissed these promises in other jurisdictions. This frivolous lawsuit is a calculated exertion to divert interest absent from the court docket scenario commencing Monday, November one, in Las Vegas, brought by TeamHealth affiliate Fremont Crisis Medicine versus UnitedHealthcare for their gross underpayment of frontline clinicians. In reality, the District Court docket in Nevada dismissed this correct claim by United in the direct up to the trial.  
 
“United carries on to produce file revenue by down coding promises and refusing to contemplate the skills of frontline clinicians who make a analysis. Even for the duration of a pandemic, United utilizes strategies like these to gain off the backs of crisis medicine suppliers who are on the frontline treating individuals and risking their very own life. The bottom line is the a lot less UnitedHealth reimburses, the additional revenue they make.” 

The lawsuit was filed in federal court docket in the Japanese District of Tennessee on October 27. UHC wants a jury trial, damages, court docket prices and other bills.

“TeamHealth upcoded tens or hundreds of countless numbers of promises for ER expert services, ensuing in UHC overpaying by additional than $100 million,” UHC claimed in the lawsuit.

WHY THIS Matters

UnitedHealth alleges that considering that 2016, TeamHealth has upcoded promises and committed fraud by misrepresenting the expert services delivered.

The United plaintiffs reviewed tens of countless numbers of industrial wellness rewards promises submitted by TeamHealth and established that effectively about 50 % of the promises TeamHealth submitted to United utilizing the two maximum amount CPT codes for ER visits – about 60% – must have used decrease-amount CPT codes for treating plan wellness difficulties, these types of as sore throats and ear infections.

TeamHealth operates a person of the biggest crisis area staffing and billing companies in the U.S. It affiliates with or acquires health care teams throughout the place that have contracts with hospitals and wellness units below which the health care teams workers healthcare facility crisis rooms, in accordance to UHC.

“But this is in which the health care groups’ involvement finishes,” the lawsuit said.

TeamHealth handles coding and billing from centralized billing centers, then submits the promises to insurers below the title of its affiliate or obtained health care group. 

No ER medical doctor profited, UHC said. Medical professionals were being paid a flat, hourly price.

THE Larger sized Pattern

TeamHealth was obtained by non-public fairness company Blackstone in 2017. Given that then, the organization has built an “aggressive pursuit of gain” that has drawn the ire of individuals, insurers, and the governing administration, UHC said in the lawsuit.

Twitter: @SusanJMorse
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