Centene Corp. said its subsidiary, Kentucky Spirit Health Plan Inc., has reached an agreement to settle all lawsuits and complaints related to its contract with the Commonwealth of Kentucky.
The subsidiary will receive an “immaterial” cash payment from the state’s actuarial firm. Both parties will dismiss all claims related to the litigation. Also, they agreed that “neither party acted in bad faith, that they took reasonable positions in light of the applicable contractual language and that the parties acted in good faith in attempting to address a difficult situation.”
In 2012, after one year of managing the insurance of 140,000 Kentucky residents, Centene announced that it would terminate its contract, effective July 5, 2013, according to previous reports. Centene said the state failed to disclose important information about its Medicaid deal.