Idaho court dismisses Elevance lawsuit on behavioral health contract

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The Supreme Court of the State of Idaho dismissed Elevance Health subsidiary Carelon’s lawsuit on its eligibility to bid for a mental health contract, according to a Dec. 18 filing.

In 2021, the Idaho Department of Health and Welfare solicited vendor bids for the state’s Behavioral Health Plan. While the state originally awarded Carelon the contract, Centene’s Magellan Healthcare and UnitedHealth’s Optum both questioned Carelon’s eligibility due to its involvement in creating the agreement’s specifications. Magellan ultimately secured the four-year, $1.2 billion contract.

Carelon sought declaratory relief and petition for extraordinary writ against Idaho and Magellan. The court dismissed the lawsuit due to a lack of legal authority.

Becker’s contacted Elevance Health and will update this story if more information becomes available.

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