FTC secures $195 million judgment against Hollywood-based company over ‘sham’ health insurance [South Florida Sun-Sentinel]
More than five years after it was shut down, a
The
A federal judge in
The
Meanwhile, Dorfman, and
An indictment issued on
According to court records, the jury was scheduled to convene on Monday after the plaintiffs and defense made final arguments on the 10th day of the trial.
Dorfman and Sand have denied wrongdoing in the criminal case, and Dorfman fought against the
A third defendant,
Prosecutors say the company used a deceptive sales script to trick people into buying what they later found out were limited indemnity plans that have a low cap on the amount of medical expenses they cover. After those caps are reached, prosecutors say, the patients are responsible for paying 100% of remaining medical expenses.
But sales representatives were required to tell prospective customers that they were buying low-cost insurance that would cover preexisting medical conditions, prescription drugs, primary and specialty care treatment, inpatient and emergency hospital care, surgical procedures, and medical and laboratory testing.
According to
Customers were sold “PPO” plans that cost up to
Customers learned they’d been scammed only after they underwent expensive medical procedures and found out they weren’t covered, the
A federal judge in
The judge’s order in the
He also instructed employees to purchase “burner phones” to create false positive reviews to submit to the
How much of the
Those included a 2013 Land Rover Range Rover and a Rolls-
In a 2022 agreement with the
But the
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FTC secures $195 million judgment against Hollywood-based company over ‘sham’ health insurance [South Florida Sun-Sentinel]
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