ACA 'plan-switching' scheme targeted low-income consumers: Insurance agents sued

[Duaine]

A lawsuit filed Friday outlines a moneymaking scheme by which large insurance sales agency call centers bought names of people who responded to misleading ads touting free government "subsidies."

A wide-ranging lawsuit filed Friday outlines a moneymaking scheme by which large insurance sales agency call centers enrolled people into Affordable Care Act plans or switched their coverage, all without their permission.
According to the lawsuit, filed in U.S. District Court for the Southern District of Florida, two such call centers paid tens of thousands of dollars a day to buy names of people who responded to misleading advertisements touting free government "subsidies" and other rewards. In turn, sales agents used the information to either enroll them in ACA plans or switch their existing policies without their consent.

As a result, the lawsuit alleges, consumers lost access to their doctors or medications and faced financial costs, such as owing money toward medical care or having to repay tax credits that were paid toward the unauthorized coverage.
Some consumers were switched multiple times or had duplicative policies.

[EXTERNAL LINK] - ACA 'plan-switching' scheme targeted low-income consumers: Insurance agents sued

 

[UKTX]

All they will do is show their "consent" and the lawsuit will disappear.

Yes, its wrong. But prospects fill out stuff all the time....without reading it.

This won't go anywhere.

 

[DonP]

And the $1400 a month for groceries won’t go anywhere . I’ve seen the ads . There’s a small disclaimer that says “ your saving $1400 a month on your health insurance and can use that savings to buy gas and groceries “. But what could go somewhere is all the irs lieing subsidy’s they got people screwed with . The insurance depts could yank there license .

 

[Yagents]

All they will do is show their "consent" and the lawsuit will disappear.

Yes, its wrong. But prospects fill out stuff all the time....without reading it.

This won't go anywhere.

This is much more then just about consent forms buddy.

 

[Agency Op Guru]

This is very big, it may be a game changer and it is national. https://kffhealthnews.org/wp-content/uploads/sites/2/2024/04/2024-04-12-Complaint.pdf

 

[Rossat]

This is why there should be state exchanges a cross the board instead of these companies that contract with the FFM.

 

[Millwood]

The only thing that will stop this is holding the actual insurance companies responsible.
All the big companies have and will continue to turn a blind eye as long as the money train keeps visiting. They only care if they share in the pain.
As long they don't get slapped harshly they will fein surprise and say oh my we can't believe call centers are doing this. All the while unloading the money train as quickly as possible.
I'm calling BS on UHC, Humana,Centenne,Aetna and all the usual suspects giving a rodents arse until they are made to care.