Division of Rehabilitation and Liquidation
| Name of Company: | DoctorCare, Inc. |
|---|---|
| Date of Liquidation: | December 1, 2006 |
| Policy Cancellation Date: | December 1, 2006 |
| Claims Filing Deadline: | December 3, 2007 |
| Guaranty Association: | Not Available |
| Type of Coverage: | Health Maintenance Organization |
| State of Domicile: | Florida |
| Status of Receivership: | Liquidation |
DoctorCare, Inc. ("DoctorCare") was a provider-sponsored health maintenance organization which provided health care coverage to approximately 5,700 Medicare subscribers and was headquartered in Coral Gables, Florida. Medicare contracts and premiums are administered through the federal Centers for Medicare and Medicaid Services ("CMS").
On November 20, 2006, DoctorCare was declared insolvent and placed into receivership for purposes of rehabilitation by the Second Judicial Circuit Court ("Court") in Tallahassee, Florida. The Florida Department of Financial Services is the court appointed Receiver of DoctorCare. The rehabilitation order was entered to allow the Receiver to conserve the assets of DoctorCare and assist CMS in its efforts to provide a smooth transition for DoctorCare’s subscribers to other Medicare providers. Unfortunately, DoctorCare's financial condition prohibited any realistic chance for a successful rehabilitation of the company.
On December 1, 2006, the Court ordered DoctorCare into liquidation and health care coverage with DoctorCare was cancelled as of that date. As a Medicare member, however, the former DoctorCare members received continued health care coverage through other health maintenance organizations. CMS arranged for two local health maintenance organizations - Preferred Care Partners, Inc., and WellCare of Florida, Inc. CMS randomly assigned each DoctorCare subscriber to one of these two companies.
On June 21, 2010, the First and Second Interim Reports on Claims were filed with the Court in the estate of DoctorCare. On June 24, 2010, the Court issued an order approving the reports. A total of 8,268 claims were filed in the DoctorCare estate within Classes 2, 4, 5, 6 and 10. Claims in Class 2, 4, 5, and 6 were evaluated but there was no evaluation completed for claims in Class 10 due to limited assets in this estate. On July 30, 2010, Notices of Determination ("Notices") were mailed to these claimants. The Notice informed them of the Receiver's recommendations concerning the classification and amount of their claim, along with instructions on how to proceed if a claimant objected to the recommendations. Objections are required to be filed by the claimant, in writing, with both the Court and the Receiver and postmarked by September 30, 2010. Objections filed after that date will not be considered.
Since the Receiver deem-filed the claims of all providers and subscribers, it was required to send Notices of Determination to all providers and subscribers. Since the majority of subscribers did not have a claim in the estate for any out of pocket expenses that were not previously reimbursed by DoctorCare, the majority of subscribers will receive a Notice that will show an evaluated amount of zero. No action is required by subscriber claimants unless they believe they have expenses that were not previously paid and which are not represented on the received Notice. If a subscriber believes they are owed money, they will need to follow the instructions on the Notice and file an objection with the Receiver and the Court.
On May 13, 2011, the Receiver filed a motion for approval of the Final Claims Report, the Claims Distribution Report and approval to make an initial distribution to claimants in Classes 1 through 3. On May 17, 2011, an Order was issued that granted approval for the Receiver to mail distribution checks representing 100% of the recommended and adjudicated amount to claimants in Classes 1, 2, and 3. As a result of the order, 36 claimants were approved to receive a distribution check. The checks were mailed on May 26, 2011.
Uncashed checks from this distribution have expired, the bank account is now closed, and those funds will be submitted to the Department of Financial Services, Bureau of Unclaimed Property. It is uncertain if any future distributions will occur.
On October 4, 2012, the Court issued an Order approving the Receiver’s Final Claims Report, Claims Distribution Report and Distribution Accounting and Authorizing Distribution. On October 18, 2012, the Receiver mailed checks to 739 Class 6 claimants representing 22.4% of the recommended amount owed claimants. The total of all checks was $3,406,081.62. At this time, no further distributions are contemplated in this estate.
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