FTC Sues Scammers Targeting The Uninsured

by News Guy on August 20, 2010

(via an email from the FTC)

When you’re looking for affordable health insurance, promises of deep discounts on medical services, products and procedures may sound like a heaven-sent solution — especially if you recently lost a job or haven’t been able to get insurance. But the Federal Trade Commission wants you to know it may just be a medical discount scam.

Today the FTC announced Operation Health Care Hustle, a crackdown on scammers targeting people in need of health insurance. They trick people into thinking they’re buying health insurance when it’s really a medical discount plan. Read the press release at ftc.gov/opa/2010/08/hustle1.shtm.

Medical discount plans are not the same as health insurance and aren’t a substitute for it. While some medical discount plans may provide legitimate discounts from certain health care providers, you have to pay for the costs of your treatment, and many plans don’t make good on their promises.

At ftc.gov/medicaldiscountscams, you and your readers can learn more about these scams and the warning signs to look out for, such as pressure to buy immediately or promises of specific discounts. You’ll also find out where to go to check out a plan before you buy.

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