Companies Settle Discount Card Program Dispute

One of the first companies to sell preferred provider organization-style discounts separately from health insurance is settling a legal dispute with a former distributor.[@@]

Precis Inc., Grand Prairie, Texas, the developer of the Care Entr?e medical care discount program, says its Capella Group Inc. unit has negotiated a settlement agreement with Equal Access Health Inc., Arlington, Texas.

Equal Access filed a suit in May that accused Care Entr?e program administrators of providing bad service.

The terms of the Capella Group-Equal Access settlement “are confidential but do not involve the payment of any amount of money by either party to the other,” Precis says in a statement. “Equal Access Health no longer sells the Care Entree product, but Care Entree has agreed to continue to provide services for members previously sold by Equal Access Health for a run-off period.”