Feds sue Minnesota insurance company over healthcare provider tax payments

(Undated)  --  The U.S. Department of Labor is suing Blue Cross and Blue Shield of Minnesota.  

The federal agency claims the Eagan-based health insurer wrongly passed along a particular state tax to employer health plans.  

It is called the provider tax, which is paid by hospitals and clinics.  

The Department of Labor says for years Blue Cross had self-funded employer health plans cover the costs of the tax as an undisclosed piece of the negotiated service rates they pay to health care providers.  

The insurance company says the claims are without merit.