A class action settlement against Direct General Insurance Company was filed in the United States District Court for the Middle District of Florida. Any Medical Provider that submitted bills to Direct General on or after January 1, 2008, is entitled to join the class. You are entitled to receive seventy-five (75%) of the difference between eighty percent (80%) of the amount you originally billed and the amount previously paid by the Direct General.
What is this Class Action all about?
The class filed a lawsuit arguing that Direct General Insurance Company improperly reduced medical charges by Providers throughout the State of Florida. Specifically, Direct General improperly relied solely on the Medicare fee schedule in calculation reimbursements for provider’s bills.
Are There Further Legal Proceedings?
No, both sides have agreed to a settlement. Once the court approves the settlement, you shall receive the correct reimbursement from the Direct General Insurance Company.
How Do I Receive A Payment?
You will receive a document titled “Notice of Proposed Class Action Settlement and Fairness Hearing.” A settlement claim form will be provided within the packet you receive. Fill out the settlement claim form indicating: A) The name of the clinic making the claim, B) Name and Title of the Person filing the claim on behalf of your Clinic, and C) Your Clinic’s tax identification number (last 4 digits).
Documents to Provide:
Submit documents that you may have available electronically such as assignment of benefits, CMS 1500 (HICFAs or other billing forms and/or explanations of benefits (“EOBs”). You do not need to submit medical records or treatment (“SOAP”) notes.
When is the Settlement Claim Form Due?
The Settlement Claim form must be postmarked by November 20, 2015. The form must be sent by first-class mail, postage prepaid, addressed to the Class Administrator: Direct General Insurance Settlement, c/o A.B. Data, Ltd., PO Box 170500, Milwaukee, WI 53217-8091.
How do I Opt-Out?
If you truly do not wish to be a part of the class action, you must make your request in writing. You must specify the class action lawsuit caption, your full legal name, the tax ID number, and the address of your facility. Lastly, you must express your preference to opt-out and sign the document indicating your name and position.
–All Opt-Outs must likewise be sent First-Class mail, postage prepaid, and postmarked no later than September 7, 2015, , addressed to the Class Administrator: Direct General Insurance Settlement, c/o A.B. Data, Ltd., PO Box 170500, Milwaukee, WI 53217-8091.
What if I Do Nothing?
You will RECEIVE NO PAYMENT! DON’T DO THIS! You give up your rights and release all potential legal claims.
If You Receive A Settlement Amount That You Feel To Be Incorrect:
You will have the opportunity to have your Settlement Payment reviewed by the Class Administrator. Your payment will be analyzed and reviewed by counsel for both the class and for Direct General. If you further disagree, you may petition the court to determine the correct amount.
Class Action Is Absolutely Free:
You will not be charged for the legal services performed by counsel for the Class. Direct General will pay Class Counsel’s fees and expenses based on the amount approved by the court.
Our Advice:
OPT INTO THE CLASS. SUBMIT YOUR SETTLEMENT FORMS. We (the law firm) will make no money on these claims but you, (Our Clients) will! Sometimes the best advice is to let your client make the money easily. Easy money is always better than hard money so in this instance OPT-IN. But don’t let the deadline pass. Submit your Settlement Claims Form if you previously billed Direct General Insurance Company. You will receive payment for backlogged Direct General suits that you may have forgotten about.
If you’d like us to submit your Settlement Claims Form, please contact Liliana Davidson, Business Development and Client Relations Manager at (561) 623-3681 We are here to help!
