Bupa, iSelect settle court battle A legal battle between health insurance giant Bupa Australia and health insurance comparison site iSelect has ended with iSelect agreeing to temper its advertising claims and make a donation to Bupa's medical research fund. Both companies say they are pleased with the agreement, which comes before an expected sharemarket listing by iSelect this year. The case was ignited by a letter from iSelect to Bupa's customers at the end of 2011. Bupa then sought a Federal Court order stopping iSelect making certain claims about a no-waiting period for people who switched their health insurance. Bupa raised concerns about iSelect's claims that on average consumers could save about $600 a year by switching their policy and sought compensation for commercial damage. In response, iSelect said it would "vigorously defend" the deceptive and misleading allegations made against it and its directors Damien Waller and Matthew McCann. It later launched a cross-claim against Bupa and its managing director, Richard Bowden. These cross-claims were dismissed by consent. The companies reached a settlement last week through court-ordered mediation, after two attempts at mediation. As a result, iSelect has undertaken to refrain for three years from stating that it compares "most" or a "wide" range of health insurance products and funds unless this is the case. It will also refrain from repeating the comments on potential savings or stating that customers won't have to re-serve waiting periods on new policies. In addition, iSelect will make a donation to the Bupa Foundation, its medical research fund. The amount has not been disclosed. Emma Zipper, general counsel and company secretary of Bupa Australia, said Bupa was "delighted" and "vindicated" by the orders. "This list of representations here are all the representations that we were making claims about: the savings, the comparisons, the waiting periods, the whole lot," Ms Zipper said. Head of corporate affairs at iSelect Matthew Cuming said iSelect's undertakings would have "no impact on its business operations or advertising. "The board of iSelect is pleased with the outcome and looks forward to one day welcoming Bupa onto iSelect's panel of health insurance providers," he said. Mr Cuming noted that Bupa had also given undertakings in relation to conduct which was the subject of iSelect's claims against Bupa. . But Ms Zipper said its private undertaking relating to a media release issued at the start of the proceedings was "not the main game." iSelect, Australia's largest health insurance comparison site, is expected to list on the sharemarket this year. According to its website, it sells products from 12 health funds, including the listed insurer NIB. Bupa products are not sold through iSelect. iSelect declined to say whether it had recently sought to raise money in Asia, in addition to the $29 million raised with investors last year. The raising was priced at $18.50 a share, a multiple of almost 20 times earnings. Its 2012 financial report shows iSelect reported a $12.93 million profit, up from $10.66 million the previous year. iSelect also sells broadband plans, home loans, life insurance, car insurance and utilities.