STAT+: HaloMD faces lawsuit alleging No Surprises Act middleman used ‘sham letter,’ misleading data

STAT PlusBusiness HaloMD faces lawsuit alleging No Surprises Act middleman used ‘sham letter,’ misleading data Highmark Health is fourth insurer to sue, seeking to overturn arbitration wins Manage alerts for this article Email this article Share this article By Tara BannowJune 3, 2026 Hospitals and Insurance Reporter Tara Bannow[email protected]Tara covers the business of health care. Her stories focus on hospitals, doctors, and how their business practices affect patients — especially when private equity gets involved. She also writes about health insurance and ideas for improving our broken health system.

You can reach Tara on Signal at tarabannow.70. A fourth major health insurer is suing HaloMD over its use of the No Surprises Act’s arbitration process, arguing that the middleman deceived arbitrators by sending them a “sham letter” and misleading price data. Highmark Health, a Pennsylvania-based Blue Cross Blue Shield licensee with over 7 million members, claims in a complaint filed June 1 in U.S.

District Court in Western Pennsylvania that HaloMD and one of its clients, a neuromonitoring provider called Bromedicon, submitted more than 450 ineligible disputes with the company and won more than $3.9 million. Like the three Blue Cross plans before it, Highmark wants those awards tossed and its money returned.Advertisement “Defendants’ scheme is not a good faith attempt to obtain fair reimbursement,” Highmark’s complaint says. “It is a deliberate effort to wrongfully extract inflated payments from Highmark.” STAT+ Exclusive Story Already have an account?

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Her stories focus on hospitals, doctors, and how their business practices affect patients — especially when private equity gets involved. She also writes about health insurance and ideas for improving our broken health system. You can reach Tara on Signal at tarabannow.70.

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