Insurance Giants Allstate And State Farm File Fraudulent Billing Suits Against Healthcare Providers

Two U.S. insurance giants have each filed a lawsuit against medical doctors as well as the pain management clinics of those healthcare providers. The doctors and clinics have been accused of submitting bills to the insurers for unnecessary medical procedures conducted on victims of vehicle crashes.

The lawsuits are against both the clinics and the doctors who own them and provide healthcare there.

One of the two insurance giants, Allstate Insurance, filed a lawsuit in the U.S. District Court for the Eastern District of Michigan. The filing is a racketeering lawsuit against The Pain Center U.S.A., Interventional Pain Center and Dr. Rajendra Bothra and Dr. Erick Backos. That suit is seeking $860,000 in damages. Allstate filed a similar lawsuit against a number of other clinics. Those suits seek $3.5 million in damages.