Industry News

California Realtor group sues Blue Shield

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The California Association of Realtors is suing Blue Shield of California over a notice of cancelled health insurance coverage for about 8,000 people, including Realtors and their family members. The association has about 200,000 members, and about 10,000 members participate in health plans offered through the Realtor association, said Debra Ferrier, assistant general counsel for the Realtor group. About 5,500 members use Blue Shield of California as their insurance provider, while a group of about 3,000 to 3,500 members use Kaiser and others choose other individual policies. "There are lots of places where Kaiser is not an alternative," Ferrier said. The latest contract with Blue Shield has been in effect for about seven years, and the association has offered Blue Shield coverage as an option for the past 15 years, Ferrier said. David Seldin, a spokesman for Blue Shield, said that the company is canceling the contract because the association breached its contract. The association ...