Georgia Health Insurers Fined $25 Million for Violations

ATLANTA — John F. King, the Georgia Insurance, Safety and Fire Commissioner, has announced that several health insurance companies will face a total of $25 million in fines.

According to King’s office, these companies breached the state’s Mental Health Parity Act, which mandates that treatment for mental health and substance use disorders be covered equally to physical health treatments.

The Office of the Commissioner of Insurance is responsible for overseeing private insurance entities. A recent analysis showed that numerous companies failed to adhere to the law. This conclusion was drawn after a thorough examination of annual insurance data, benefit applications, and treatment approaches.

King stated, “I’ve said it before and I’ll say it again: Insurance companies will not exploit consumers while I’m here. These companies are not exempt from the law, and I will take strong action against any company that denies Georgians the care they require.”

The first mental health equivalency report was released in August 2023, prompting the Office of Commissioner of Insurance (OCI) to investigate 22 insurance providers in Georgia.

“I want insurance companies to understand that I prioritize the well-being of all Georgia consumers. I will not hesitate to act against entities that keep violating the law—no exceptions,” King added.

OCI has issued a series of orders regarding mental health violations against these companies as part of this examination:

• Aetna Life Insurance Co., Ltd. and Aetna Health Insurance Co., Ltd.
  • 1,843 violations
  • Fine: $1,843,000
• Alliant Health Plan
  • 926 violations
  • Fine: $926,000
• Blue Cross Blue Shield of Georgia Healthcare Plan
  • 4,619 violations
  • Fine: $4,619,000
• Care Source Georgia Inc.
  • 527 violations
  • Fine: $527,000
• CIGNA Health and Life Insurance Company and CIGNA HealthCare of Georgia, Inc.
  • 2,058 violations
  • Fine: $2,058,000
• Georgia Humana and Humana Employer Health Plans
  • 821 violations
  • Fine: $821,000
• Kaiser Foundation Health Plan of Georgia, Inc.
  • 2,586 violations
  • Fine: $2,586,000
• Kaiser Permanente Insurance Co., Ltd.
  • 289 violations
  • Fine: $289,000
• Nippon Life Insurance Company of America
  • 141 violations
  • Fine: $224,000
• Oscar Health Plan of Georgia
  • 10,247 violations
  • Fine: $10,247,000
• United Healthcare Insurance Company, United Healthcare Insurance Company of the River Valley, and United Healthcare of Georgia, Inc.
  • 643 violations
  • Fine: $643,000