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Amerigroup OKs $225 million settlement

CHICAGO - Insurance company Amerigroup Corp. said Tuesday it has agreed in principle to settle for $234 million a lawsuit accusing it of discriminating against pregnant women and other high-risk patients. The settlement includes $225 million to be paid to the federal government and the state of Illinois plus $9 million in legal fees, the company said in a statement issued from its Virginia Beach, Va., offices. A federal judge in Chicago in 2007 ordered the company to pay $334 million plus fees after a jury found it avoided pregnant women and others while receiving Medicaid money designed to assure services to them through the Illinois Department of Public Aid (IDPA). Amerigroup said it would admit no wrongdoing under the settlement. "We are concluding this litigation now to remove a source of significant legal and financial... [read full story]                    

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