Humana to Pay $14.5 Million to Settle Charges

Humana Inc. has agreed to pay $14.5 million to settle allegations it provided inaccurate information to the federal Medicare program, the Justice Department said. The settlement ended an investigation of Medicare payments to the managed-care company from 1990 through 1998 for Medicare beneficiaries who were members of Humana plans and were incorrectly listed by the plans as eligible for both Medicare and Medicaid, they said. Medicare provides for a higher monthly payment for those who are eligible for both programs, the officials said. Under the settlement, Louisville, Ky.-based Humana also entered into a five-year corporate integrity agreement designed to promote compliance with all federal health-care program requirements, they said. Humana shares fell 31 cents to close at $5.38 on the New York Stock Exchange.