Kaiser settles lawsuit, provides new wheelchair for California woman

Beth Smith, a 64-year-old wheelchair user from Albany, California, was part of a class-action lawsuit against Kaiser Foundation Health Plan regarding restrictive coverage limits for wheelchairs. The lawsuit highlighted that Kaiser imposed a $2,000 annual cap on wheelchair coverage, which was insufficient for the high costs of necessary motorized chairs. Smith's case was resolved through arbitration, resulting in Kaiser agreeing to pay $15,000 for a new wheelchair and additional funds for maintenance and therapy costs. The arbitration settlement also allows Smith to receive funds for a medically necessary wheelchair every five years. Smith, who has cerebral palsy, expressed relief at the prospect of a new wheelchair, as her current one is over a decade old and has been breaking down. She emphasized that her motivation for joining the lawsuit was to advocate for policy changes that would benefit all individuals with disabilities, rather than just her own needs. Kaiser denied any wrongdoing, stating that their coverage terms met or exceeded California law requirements. The lawsuit also involved the California Department of Managed Health Care, which had designated a Kaiser plan as a benchmark for insurance coverage. The DMHC maintained that wheelchairs are not mandated benefits under state law, thus not discriminating against individuals with disabilities. As the arbitration process concluded, the broader lawsuit against the state was paused to seek federal guidance on wheelchair coverage. Advocates continue to push for legislative changes to ensure better coverage for individuals with disabilities in California.