SACRAMENTO — Officials say Anthem Blue Cross will pay $2.8 million to the state as part of a settlement over allegations that the insurer failed to address issues with its grievance and appeals process.

Department of Managed Health Care director Shelley Rouillard tells the Sacramento Bee that for years, Anthem failed to identify, process or resolve consumer complaints against its managed-care plans.

Rouillard says the settlement closes out Anthem’s appeal of a $5 million fine that the department levied in 2017.

She says that Anthem customer service representatives failed to properly classify calls.

As part of the settlement, the company will invest $8.4 million to improve how it logs consumer calls.

Anthem Blue Cross spokesperson Michael Bowman said the company is making significant changes to improve “the health care experience for consumers.”