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Insurers in Massachusetts sued for hawking misleading plans

On December 8, Boston’s WWLP-22News revealed how health insurance companies are being sued by the state Attorney General for misleading consumers into purchasing low-value supplemental health insurance.

We recently covered how UnitedHealthcare’s short-term health plan Golden Rule was able to shirk responsibility for covering a man’s cancer treatment. Now, Massachusetts Attorney General Maura Healey is suing three health insurance companies for similar misleading behavior. In Massachusetts, 15,000 residents have spent over $43.5 million in the last nine years on supplemental health plans—which typically include products such as critical illness, accident, and disability insurance—believing they were buying a traditional health insurance plan that covers most health issues. While we doubt we are likely to see insurers begin to put more energy into helping cover costs of care rather than distort access to care, we are encouraged that they might finally be held accountable for their actions.

 

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