What would be an illegal action for an insurance company regarding health care programs?

An insurance company failing to apply discounts after negotiation would be engaging in potentially illegal actions. This refusal could result in overcharging customers for their services, thus violating contractual agreements and possibly state regulations designed to ensure fair treatment of policyholders. If an insurance company negotiates discounts as part of a healthcare program but then does not apply those discounts when processing claims, it could be seen as deceptive conduct. This undermines consumer trust and may lead to financial harm for policyholders who are entitled to the reduced rates that were negotiated.

On the other hand, options involving implementing cost-cutting measures, refusing claims based on requirements, or conducting routine checks on claims are typically part of standard operational practices. While such actions must be done transparently and in compliance with law and policy, they are not inherently illegal unlike the failure to apply negotiated discounts.