Healthcare Carriers Suspend Marketing Certain Senior Plans
Amid allegations of misleading and aggressive sales practices, seven of the country’s largest healthcare carriers will cease marketing some plans to seniors, according to announcement made by Government officials. The companies include Humana Inc., WellCare Health Plans Inc., Coventry Health Care Inc. and UnitedHealth Group Inc.
Under the voluntary agreement, the companies won't promote private so-called fee-for-service plans until Medicare officials certify they use accurate and understandable marketing.
Washtington-based insurance industry trade group America's Health Insurance Plan (AHIP) emphasized that only a small number of insurance agents are suspected of misleading seniors.
A written statement made by AHIP President and CEO Karen Ignagni on the organization’s website reads: “Taking a major step to give Medicare beneficiaries peace of mind, today seven of our member companies are making a pledge to voluntarily stop marketing non-group Medicare Advantage Private Fee For Service plans and to strengthen consumer protections by implementing now the Centers for Medicare and Medicaid Services (CMS) 2008 marketing enhancements ahead of schedule. This action will complement efforts already underway to ensure that brokers, agents and in-house marketing staff are appropriately trained and give beneficiaries additional assurances that they will have accurate, clear and useful information they need to understand their choices.”
Published on June 19, 2007
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