<P> In 2007 , the California Department of Managed Health Care ( DMHC ) , a California state regulatory agency , investigated Anthem Blue Cross 's policies for revoking ( rescinding ) health care insurance policies . The DMHC randomly selected 90 instances where Anthem Blue Cross canceled the insurance of policy holders who had been diagnosed with costly or life - threatening illnesses , to find how many of these cancellations were legal . The agency concluded that all these cancellations were illegal . `` In all 90 files , there was no evidence ( that Blue Cross ) , before rescinding coverage , investigated or established that the applicant 's omission / misrepresentation was willful , '' the DMHC report said . </P>
<P> In 2007 , the California Department of Managed Health Care ( DMHC ) , a California state regulatory agency , investigated Anthem Blue Cross 's policies for revoking ( rescinding ) health care insurance policies . The DMHC randomly selected 90 instances where Anthem Blue Cross canceled the insurance of policy holders who had been diagnosed with costly or life - threatening illnesses , to find how many of these cancellations were legal . The agency concluded that all these cancellations were illegal . `` In all 90 files , there was no evidence ( that Blue Cross ) , before rescinding coverage , investigated or established that the applicant 's omission / misrepresentation was willful , '' the DMHC report said . </P>
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