Contractor for Maryland health exchange website to pay $45M

The problems caused Maryland to fall behind of its goal of enrolling 260,000 people before a March 31 deadline and left thousands of state residents’ applications stuck in the exchange system while the website struggled to keep up with increased site traffic.

The North Dakota Blues, Huckle said in his statement, said the health insurer “continues to operate business as usual and remains a financially stable organization”.

The website crashed after its opening on October 1, 2013, according to The Associated Press.

Noridian Healthcare Solutions agreed to pay $20 million upfront, Maryland Attorney General Brian Frosh said. “This settlement sends a message that the performance was unacceptable, and that those responsible will be held accountable”. The rest will come in yearly installments of $5 million for five years.

The transactions symbolize cash award of 61 per cents along the net compensation to this company for your didn t make it website growth and initiate in 2013.

The settlement still must gain regulatory approval (Washington Post, 7/21). Noel Isama, director of transparency and accountability with Common Cause Maryland, said that Noridian’s payments don’t address the original problems that prevented the exchange from working, particularly lack of accountability in the procurement process, the Baltimore Sun reported.

The agreement will help recover funds for both Maryland and the federal Centers for Medicare and Medicaid Services. The settlement settlement additionally releases Maryland from all contractual obligations with Noridian Healthcare Solutions.

He said the settlement represents a fair deal for taxpayers, because of limitations on Noridian Healthcare Solutions’ ability to pay.

Noridian Healthcare Solutions’ parent company, Noridian Mutual Insurance Company, agreed to guarantee at least $40 million of the settlement payment. Investigation of claims towards different corporations concerned within the improvement and implementation of the Maryland exchange is constant.