Nine hospital and healthcare groups are calling on a federal appeals court to rehear a case involving United Behavioral Health's denial of 67,000 mental health and substance abuse claims.
The 9th Circuit Court of Appeals in March reversed a California federal judge's November 2020 order for United Behavioral Health (UnitedHealth Group's behavioral health unit) to reprocess those claims and also overturned the judge's underlying March 2019 ruling in the class-action lawsuit that the claims were improperly denied.
In the 2019 case, the trial court found that United Behavioral Health violated state laws by using its own more restrictive criteria to deny mental health and addiction treatment coverage.
The groups — which includes the American Hospital Association, American Psychological Association and National Association of Federal Healthcare — said the appellate court should have affirmed the lower court's decision, according to the May 16 brief filed with the 9th Circuit Court.
"Most importantly, the panel ruling slammed shut the door to patient access to safe, effective, and state-of-the-art treatment for behavioral health and substance use disorders and sets a dangerous precedent for patients throughout this circuit and the country," the groups said in the court filing.
The attorneys general of Connecticut, Rhode Island and Illinois are also seeking to have the case reheard and ultimately overturned.