Taking a Closer Look at the Managed Care Class Actions: Impact Litigation as an Assist to the Market
25 Pages Posted: 15 Aug 2002 Last revised: 14 Jun 2008
Abstract
This article examines the class action as a procedural method of attempting to achieve quality in the managed care system. It first briefly illustrates why and how the class action is an appropriate approach to some types of litigation because of its ability to empower groups of people, in this case covered individuals. Examining the allegations of some of the current managed care class actions, the article demonstrates that the class actions are likely to promote quality health care in both an empowerment and a free market competition sense. Therefore, although litigation is usually seen as an attempt to regulate the market, this type of litigation can assist the functioning of the market for health care coverage.
JEL Classification: K3
Suggested Citation: Suggested Citation