
                         Roanoke Times
                 Copyright (c) 1995, Landmark Communications, Inc.

DATE: FRIDAY, November 17, 1995                   TAG: 9511170055
SECTION: BUSINESS                    PAGE: A-15   EDITION: METRO 
SOURCE: MAG POFF STAFF WRITER
DATELINE:                                 LENGTH: Medium

TRIGON TO TRY AGAIN

Trigon Blue Cross Blue Shield, the state's largest provider of health insurance, said Thursday it has restarted its program to refund overpayments its customers made under a controversial plan for settling hospital bills.

About 300,000 policyholders would share as much as $30 million for money they overpaid for hospital services between 1984 and 1993, the company said.

These are people who failed to file claims when Trigon conducted a drive late last year and early in 1995 to find customers who qualified for refunds under a company settlement with state regulators.

"Because of the large number of policyholders who did not file claims for a refund, questions have continued to be raised about the program," Trigon chairman Norwood H. Davis Jr. said in a statement. "This question has been raised by the Bureau of Insurance, the attorney general of Virginia, the press, and a number of our policyholders."

Davis said the company decided to reopen the program at the request of the Virginia State Corporation Commission's insurance bureau and because of a pending lawsuit filed by Attorney General Jim Gilmore.

The corporation commission, which mandated the earlier refunds, ordered reopening the case.

The new checks, to be mailed Dec. 22, will go to people who failed to file a claim for whom Trigon has addresses.

The company said it estimated that still another 200,000 policyholders, for whom the company does not have current mailing addresses, may be due refunds totaling about another $18 million to $20 million. Trigon said it will attempt to reach them through an advertising campaign

The company said any unclaimed refunds as of Dec. 31 will be deemed unclaimed property and paid to the state treasurer.

The corporation commission, on the other hand, said the unknown claimants will have until April 24, 1996 to request claim forms and until May 1 to file claims.

The commission said it has approved the plan which will result in total refunds of more than $70 million.

The copayment refunds result from a former billing practice by Trigon that regulators said denied policyholders the benefits of discounts the insurance company negotiated with hospitals. Trigon no longer follows the practice, now basing what its policyholders pay on the discounted hospital charges.

Policyholders who believe they qualify may call Trigon at 1-800-313-6224 during business hours.

by CNB