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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)

Facts

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

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Issue

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Holding and Reasoning (Sannes, J.)

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A "yes" or "no" answer to the question framed in the issue section;
A summary of the majority or plurality opinion, using the CREAC method; and
The procedural disposition (e.g., reversed and remanded, affirmed, etc.).

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