Monday, June 28, 2010

Companies Ordered not to sell Health Insurance

Seven companies and five individuals have been ordered to stop selling unauthorized health insurance products in Florida by Florida’s insurance commissioner. In February, Kevin McCarty issued an order that companies engaged in unauthorized selling should stop selling health insurance products.

It is not new to hear about frauds in health insurance market. There are lot of unscrupulous companies and individuals who pose to be authorized by the Insurance department and make money. This is where the experts always stress that before buying health insurance, make sure that the selling company is authorized.

According to online news, some consumers in Florida complained that the policies issued were not for major medical insurance coverage, as represented, but for unauthorized limited benefit plans. Of course a regular trick for frauds!

After the investigations, complaints were found true and therefore the orders followed. Those involved in this unauthorized selling could face thousands of dollars in fines if they violate the order.

The companies are identified as:
* Beema-Pakistan Co. Ltd.
* Serve America Assurance Ltd.
* Real Benefits Association
* Affinity Group Benefits Association
* American Trade Association
* Smart Data Solutions LLC
* SDS Management Group

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