Friday, October 19, 2007
The Colorado Court of Appeal unanimously rejected State Farm Mutual Automobile Insurance's "exclusive computer database" to calculate medical costs.
State Farm used Sloans Lake Auto Injury Management, a medical database that compares physician charges against same or like services in a geographic region. The court conculded that the technique was arbitrary and unreeasonable.
The case is Pauline Reyher and Dr. Wallace Brucker v. State Farm Mutual Automobile Insurance Co. Insurance Journal, Insurance Journal 09/25/2007 Read Article: Insurance Journal