Hospital ERISA Class Action Matter
Analysis Group was retained on behalf of a Texas hospital system in this class action matter alleging breach of fiduciary duties under ERISA. The plaintiffs claimed that they paid artificially high premiums in connection with the hospital system's self-funded benefits plan. The plaintiffs also challenged the compensation that the hospital system received from the plan in connection with medical services provided to the plan participants. Analysis Group teams supported testifying experts including one of our in-house consultants, an academic expert, and a hospital industry expert in assessing a variety of issues including the economic cost structure of the provision of hospital services, the role of health insurance in competing for healthcare workers, pricing contracts between insurers and hospital systems, and contracts between hospital and physician networks. Class certification was denied.