Health Net Settles With California Regulators, $25 Million

Sacramento (dbTechno) - Health Net Inc. (HNT) has reached a settlement with California regulators worth $25 million.  The settlement comes as the company was accused of dropping many insurance policies of citizens of California without good reason.

The $25 million settlement reached is expected to make things right again for those in California who were hit by this move by Health Net Inc.

Health Net is going to offer new health insurance coverage to the 926 people whom they took policies awar from.

They will be able to offer then insurance without any exclusions, pre-existing health problems, etc.

The $25 million settlement includes $14.2 million in payments for medical charges.

They will also pay $7.2 million in waived insurance premiums, as well as a fine worth $3.6 million.

Health Net may also face added fines if they do not fix their problems.

Health Net is one of the big five health insurance companies in California whom have been under investigation for improperly dropping health insurance policies from customers.