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California Court Finds That Discretionary Clauses in Health Insurance Policies Are Enforceable
Ogletree Deakins 
Sept. 13, 2016 "In 2011, the California legislature passed Insurance Code Section 10110.6 which bans the use of discretionary clauses in any ... [contract] that provides or funds life insurance or disability insurance coverage.... Judge Edward M. Chen of the United States District Court for the Northern District of California [recently] applied choice of law principles to find that New York law applied and also found that even if California law were to apply, Section 10110.6 does not apply to health insurance plans." [Bain v. United Healthcare [sic] Inc., 15-03305 (N.D. Cal. Aug. 30, 2016)] |
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