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MVP Health Plan, Inc. v. OptumInsight, Inc.
United States District Court for the Northern District of New York
2017 WL 3669558 (2017)
MVP Health Plan, Inc. (MVP) (plaintiff) paid OptumInsight, Inc. (Optum) (defendant) $332,981 to perform actuarial analyses on which MVP based its pricing for health plans it provided to commercial customers. MVP and Optum had a longstanding relationship, and Optum knew how MVP used Optum’s analyses. Optum provided defective analyses which caused MVP to underprice its health plans, resulting in over $12 million in lost profits. MVP sued Optum for breach of contract. The trial court found that Optum had breached the parties’ contract and then determined whether MVP’s lost profits were general or consequential damages.
Rule of Law
Holding and Reasoning (Sannes, J.)
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