Health insurers to halt ad effort

Government officials said seven of the country's largest insurers will cease marketing some plans to seniors amid allegations of misleading and aggressive sales practices.

The companies agreeing to the suspension include Humana, WellCare Health Plans and UnitedHealth. Under the voluntary agreement, the companies will not promote their so-called private-fee-for-service plans until Medicare officials certify the companies use accurate and understandable marketing communication.

Medicare is the government-run health benefit that covers 43 million seniors. Roughly 20 percent of those seniors receive their benefits through privately run Medicare Advantage plans.

Last month, state insurance officials told lawmakers they have received hundreds of complaints from seniors who thought they were signing up for the traditional government program, only to learn they had been enrolled in a for-profit corporate plan.

In other cases, agents misled seniors into leaving the government program for a privately run Medicare Advantage plan.

While nearly all the major health insurers offer the plans, nearly half of all patients enrolled are in Humana plans, Medicare officials said.

The plans are popular among seniors -- over 1 million are enrolled -- because of the benefits, which often include dental and vision care. However, they often carry unexpected costs and limited access to physicians.
Source :http://www.suntimes.com