Sometimes, is seems like insurance companies that sell health insurance are just waiting for the tiniest reason to cancel someone’s insurance policy. This is a nightmare for many Americans, and a reality for some. Recently, Ceridian Cobra Services, an insurance company, suddenly canceled the health insurance policy of a Vietnam veteran, because of a two cent discrepancy on a premium payment.
Ronald Flanagan is a United States Veteran who served in Vietnam. While he was serving his country, he was exposed to a chemical called Agent Orange. This toxic herbicide was used by the U.S. Military during the Vietnam War to destroy the vegetation that was obscuring the location of the enemy troops. Agent Orange is a carcinogen and has caused cancer in many of the soldiers who were exposed to this toxic substance, (often many years after the initial exposure). Ronald Flanagan is one of soldiers whose cancer was caused by exposure to Agent Orange. In his case, it was bone cancer.
The company he purchased health insurance from, Ceridian Cobra Services, did something completely despicable. They canceled his health insurance without warning, and didn’t even bother to inform him that it had been canceled. In November, Ronald’s wife, Frances, paid their insurance premium. The bill was for $328.69, but she accidentally made the check out for $328.67 instead. Ceridian Cobra Services chose to cancel Ronald’s health insurance, because of the two cent discrepancy. The insurance company didn’t mention that Ronald’s insurance had been canceled. Instead, they sent the bill for December, and made a little note indicating that the previous premium was short by two cents. The Flanagan’s paid that bill, and Ceridian Cobra Services accepted the payment.
Ronald was actually about to have a biopsy when his wife discovered that his health insurance had been canceled. What a nightmare! Ronald did not end up having the biopsy he needed, as scheduled, and was considering trying to use a Veterans Administration hospital in order to get the health care he needed. That hospital was more than one thousand miles away from him.
Eventually, Ceridian Cobra Services relented, and reinstated Ronald’s health insurance, but this was only after Ronald took his story to ABC in Denver. If he had not done that, then Ceridian Cobra Services would have gotten away with canceling the health insurance of a Vietnam veteran because of two cents. Personally, I find it absolutely disgusting that Ceridian Cobra Services thought it was acceptable to do that. It boggles the mind that the insurance company accepted payment for the health insurance after it had been canceled.
Image by Beverly & Pack on Flickr