Record fines for UnitedHealth

Updated: January 29, 2008 - 9:11 PM

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UnitedHealth Group Inc. was fined $3.5 million Tuesday by the California Department of Managed Health Care for problems in paying medical claims. Yet to come is a separate sanction by the California Department of Insurance, whose penalty could be as high as $1.3 billion. The Minnetonka-based insurer has paid record fines in at least six other states since 2004 for paying claims slowly, shortchanging doctors, hospitals and patients, or poorly handling complaints and appeals.

Year State Penalty

2008 California $3.5 million*

2007 Texas $4.4 million

2007 New York $3.7 million**

2007 Florida $2.7 million**

2007 Nebraska $650,000

2006 Arizona $364,750

2005 Wisconsin $600,000

2004 N. Carolina $2.2 million

*Fines so far ** State's share of a $12 million multistate penalty. Sources: Star Tribune research, state regulatory agencies.