The continuing inability of Oxford Health Plans Inc. to pay claims in a timely way has gotten the managed care provider in trouble again with New York officials, this time with a $3 million fine announced Tuesday.
In addition to instituting the fine -- a record in New York against a health insurer -- the state Insurance Department said Oxford will pay $500,000 in restitution to customers and health care providers. Oxford executives and state insurance officials signed a document n which the company agreed to the terms announced Tuesday. The company also promised not to pass on the cost of the penalties to its customers.
State Superintendent of Insurance Neil Levin said his department will make sure Oxford is complying with the terms of the agreement.