California regulators issued record fines against L.A. Care, the state’s largest Medi-Cal managed-care plan for providing inadequate care to its enrollees.
Is California getting tougher on health plans that participate in Medi-Cal, the state’s insurance program for low-income residents?on L.A. Care, California’s largest Medi-Cal managed-care plan, for failing to ensure adequate care and allowing treatment delays that threatened enrollees’ health. Patient advocates hope the move signals stricter enforcement against other Medi-Cal insurers, which have many of the same shortcomings for which the regulators just fined L.A. Care.
On March 4, the Department of Managed Health Care hit L.A. Care with a $35 million penalty — more than triple its highest previous fine. The Department of Health Care Services levied $20 million, nearly eight times its earlier record.State regulators impose largest-ever fines on L.A. County’s public health system — which serves the county’s poorest residents — for long delays in care.
In announcing the fines, state agency directors said: “The magnitude of L.A. Care’s violations, which has resulted in harm to its members, requires immediate action.” The health plan has 2.4 million Medi-Cal enrollees.
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