DHMC Fines Care1st For Outsourcing

The Department of Managed Health Care has levied a $120,000 fine against Medi-Cal managed care insurer Care1st Health Plan for sending a large portion of its claims for processing overseas without notifying the agency, and providing inaccurate information about the change. Care1st has about 410,000 enrollees in California, mostly through the Medi-Cal and Healthy Families programs. It also enrolls dual-eligibles who quality for both Medi-Cal and Medicare.