Blue Cross Sues Over Running Nebraska Health Plan

By: Associated Press
By: Associated Press

Blue Cross and Blue Shield of Nebraska has filed a lawsuit to block the state's planned switch to a new health insurance company because of improper lobbying on United Healthcare's behalf.

Blue Cross says the chairman of the Nebraska Republican Party violated state rules by lobbying on behalf of United Healthcare.

Nebraska officials have said switching health insurance companies will save taxpayers and state employees a combined $8 million annually, so the state plans to change to United Healthcare on July 1.

Blue Cross officials have argued that the change will actually cost an additional $10 million per year because of limits in the United Healthcare network.

Blue Cross Blue Shield has administered Nebraska's health insurance plan for nearly 30 years.

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