Ga. Insurance Commission Penalizes United Healthcare For Withholding Records

January 28, 2005

United Healthcare Insurance Co. has been fined $5,000 by the Georgia Insurance Commission for withholding records requested by department examiners.

The company could face additional penalties of up to $5,000 for each document subsequently withheld from the department. Insurance Commissioner John Oxendine has ordered a market conduct examination of United Healthcare after receiving numerous complaints regarding the company’s claims handling practices.

“Requests for documents by my examiners have not been complied with by the company,” Oxendine explained. “The bottom line is that I will not allow United Healthcare to stonewall my efforts to determine if Georgia citizens are being mistreated. They are not going to be allowed to conceal any records.”

Oxendine’s order gives United Healthcare until Feb. 4 to produce the documents which have been previously withheld. The commissioner’s order further directs the companies to continue to provide records and documents to Insurance Department examiners during the course of the ongoing examination. Failure to provide the documents can result in additional penalties.