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District Court Finds Undocumented Immigrant Status Insufficient Basis to Rescind Coverage on Material Misrepresentation Grounds
Thomson Reuters / EBIA 
Apr. 26, 2019
"A federal trial court has ordered a self-insured health plan to pay more than $760,000 in benefits to a hospital that provided care to a plan participant before his death. During treatment for a severe illness, it was discovered that the participant was an undocumented immigrant and had enrolled in the plan using a false name and Social Security number.... The court concluded that the participant was an eligible employee because he worked, and was paid for, 30 or more hours per week.... [N]othing in the plan language excluded employees who were not authorized to work." [Avera McKennan v. Meadowvale Dairy Employee Benefit Plan, No. 18-4010 (N.D. Iowa Apr. 12, 2019)]
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