Lawsuit Filed Against Blue Shield for Death Spiral Practices

On June 12, 2012, Robert Martin and Deborah Goodwin filed a class action lawsuit against BLUE SHIELD OF CALIFORNIA and BLUE SHIELD OF CALIFORNIA LIFE & HEALTH INSURANCE COMPANY for improperly closing health insurance plans and policies without providing comparable coverage in open plans and policies or pooling the closed blocks with an appropriately large number of available open blocks once the plans and policies were closed. This is similar to an action filed against Blue Cross of California that has been referenced on this site, and was settled by Blue Cross last year. Consumer Watchdog and Whatley Kallas LLC are representing these plaintiffs.

A copy of the press release announcing this lawsuit can be accessed here:

Blue Shield Press Release
For more information about this action, and to review a copy of the Complaint, please go to