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| September 08, 2009 | Link to article
An insurer that allegedly misled people into buying low-cost health insurance policies and then denied coverage after they became ill will pay $17 million in what the state says may be the largest consumer protection settlement against a health plan in Massachusetts history.
HealthMarkets Inc., of North Richland Hills, Texas, and its subsidiaries MEGA Life and Health Insurance and Mid-West National Life Insurance are also banned for at least five years from selling new health plans in Massachusetts and must exit the state health plan business completely, according to a judgment filed yesterday in Suffolk Superior Court and outlined by state Attorney General Martha Coakley.