UMR Insurance Denied Drug Screening Settlement

Participants or beneficiaries of employer-sponsored health plans administered by UMR Inc. who had urinary drug screening (UDS) or emergency room (ER) claims denied because they were deemed not medically necessary.

Required only for additional payments. Acceptable documentation includes canceled checks, credit card or bank statements, receipts, or any form of proof showing out-of-pocket payments for UDS or ER claims.

UMR has reached a settlement with the U.S. Department of Labor (DOL) to resolve allegations that it improperly denied health benefit claims related to urinary drug screenings. The DOL asserted that UMR’s denial of these medically necessary tests violated ERISA—the federal law protecting employee health benefits.

UMR, a third-party administrator that manages employer health plans, allegedly denied these claims on the grounds that the screenings weren’t medically necessary. The settlement offers affected plan members financial reimbursement for those denied benefits.

What Affected Plan Members Can Receive

Eligible individuals may receive the following benefits:

• Baseline Payment:
  $68.85 for each covered UDS claim, automatically provided to those identified and notified by mail—no action required.

• Additional Payment (Requires Claim Submission):
  Up to $103.27 more per claim if you submit documentation proving you paid more than the baseline amount out of pocket.
  Total possible reimbursement per UDS claim: $172.12

• ER Claim Reimbursement:
  For certain emergency room claims, eligible class members may receive up to $353.22 per claim, with documentation.

There is no exclusion or objection deadline for this settlement. However, to receive any additional payment beyond the baseline, class members must submit a valid claim form by Sept. 2, 2025.

This settlement provides long-overdue compensation to individuals who were denied necessary health benefits and may help reinforce accountability for third-party health plan administrators.