Blue Cross Blue Shield ND Fined, Accused of Not Reporting Fraud

NORTH DAKOTA – The Blues face a big fine for improperly denying some claims and not reporting suspected cases of fraud.

North Dakota’s Insurance Department has fined Blue Cross Blue Shield of North Dakota $125,000.

Insurance Commissioner Jon Godfread says the 16-month investigation focused largely on mental health and substance abuse claims. He says some of the claims were improperly denied and there was “disagreement on the treatment level” of others.

The Blues plan to respond by investing over $300,000 to address issues identified by regulators.