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Empire State Finds Network Rule Violators

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The New York State Insurance Department says some doctors have been courting state and local employees by having the state health insurance plan pay extra charges for out-of-network care.

State regulators have found that 20 medical providers waived out-of-network charges for participants in the New York State Health Insurance Program and then compensated by inflating the bills submitted to NYSHIP, officials say.

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The arrangements cost NYSHIP about $14 million, officials say.

State agencies have recovered about $9 million from 5 of the providers and persuaded 4 to participate in the NYSHIP provider network, officials say.