A civil lawsuit has been filed against Central United Life Insurance Company (“Central United”) alleging that the company illegally changed the terms of its cancer insurance policies in order to avoid paying thousands of dollars due to its policyholders who get treatment for cancer. Central United sold insurance contracts known as “specified disease” policies which… Continue Reading
Monthly Archives: August 2009
United Healthcare Fined For Denying Claims For Chiropractic Treatment
The Missouri Department of Insurance conducted a market conduct examination of United Healthcare after patients and chiropractors filed complaints about the company improperly denying claims. The Department of Insurance found United Healthcare violated state insurance laws by failing to evaluate the medical necessity of treatment before denying claims. Pursuant to a settlement with the Missouri… Continue Reading
FDA Initiates Safety Review Of Weight Loss Medication Alli And Xenical
On August 24, 2009, the Food and Drug Administration ("FDA") issued an “Early Communication” to inform the public about concerns related to the weight loss medication, Orlistat, and potential injury to the liver. The FDA announced there were 32 reports of liver injury suspected to be associated with the use of Orlistat between 1999 and 2008. The… Continue Reading
Gilead Sciences Inc. Receives Subpoena Regarding Ranexa Heart Drug
Gilead Sciences Inc. ("Gilead") received a subpoena from the Inspector General of the Health and Human Services Department regarding the development and marketing of its Ranexa heart drug. The subpoena comes just months after Gilead acquired CV Therapeutics in order to obtain the drug Ranexa. Investors who bought Gilead stock on the presumption that Ranexa… Continue Reading
Health Insurer Fined Over Misleading Ads
New York State insurance regulators have fined American Medical and Life Insurance Company (“AMLIC”) for marketing limited health insurance policies through “misleading” advertisements which promised “peace of mind” for just $5 a day. In reality, AMLIC policies were not comprehensive health insurance and left patients only with huge hospital bills. For example, AMLIC advertised that… Continue Reading
The FDA Warns Illegal Marketers Of Topical Ibuprofen
The Food and Drug Administration (“FDA”) has issued warning letters to 8 companies who are illegally marketing over-the-counter ("OTC") products that contain topical ibuprofen. The FDA warning letter states: “Orally administered ibuprofen has been approved as a safe and effective treatment for pain and inflammation. There are no approved applications for topical ibuprofen products. Although… Continue Reading
Job Search Firms Prey On The Unemployed
In the most difficult job market in decades, a bewildering and largely unregulated array of businesses offering employment assistance have left job seekers vulnerable. For fees that are typically thousands of dollars, these companies offer to help the unemployed land six-figure jobs and to cut the job search time in half. However, many of these… Continue Reading
Not So “Free” Trials
A prevalent practice in the marketplace today is the use of the "FREE Trial" method to sell products. Although this practice may have a legitimate purpose – to allow a potential customer to preview a product at no charge with the hope they will like it enough to buy it – all too often there… Continue Reading
Beware of 809, 284 Or 876 Area Code Scams
Periodically, long distance phone scam causes consumers to inadvertently incur high charges on their phone bills. Consumers usually receive a message telling them to call a phone number with an 809, 284 or 876 area code in order to collect a prize, find out information about a sick relative, or some other important information. The… Continue Reading
FDA Warns Manufacturer Regarding Its Marketing And Distribution Of “Zencore Plus”
The Food and Drug Administration (“FDA”) has issued a warning letter to Bodee, LLC, a company based in Century City, California, regarding the marketing and sale of its dietary supplement Zencore Plus (“Zencore”). The FDA alleges that laboratory analysis of the product concluded that five lots of Zencore contain benzamidenafil, which is in the same… Continue Reading
Beware Of Fake Insurance Policies
State insurance regulators in Michigan have charged two businesses with selling fake health insurance policies, and the Georgia Insurance Commission issued cease and desist orders to two organizations allegedly acting as unlicensed insurers. The Michigan Office of Financial and Insurance Regulation (“MOFIR”) ordered American Consumers Insurance (“ACI”) and its partner agency, Real Benefits Association (“RBA”),… Continue Reading
Call For Ban Of Yaz, Yasmin And Ocella Birth Control
Health and consumer advocates are calling for the Food and Drug Administration ("FDA") to ban Yasmin, Yaz and Ocella — brand names under which the birth control drug combination drospirenone and ethinyl estradiol are sold — because of the pill’s potential to cause blood clots, heart attack and stroke. Yasmin, for example, was introduced in… Continue Reading
Automobile Dealership Window Etching Scam
Have you recently purchased a new car from a dealership and was surprised to find that dealers are still attempting to force new car buyers to hand over their hard earned money for window etching? Window etching is when the dealer “scratches” the vehicle glass with part of the car’s VIN number, for which the… Continue Reading