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State targets
health insurance scammer
By The Mainebiz News Staff
Today 5/18/2010
 
http://www.mainebiz.biz/news46338.html?Type=search

Superintendent Mila Kofman issued an emergency Cease and Desist Order to American Trade Association (ATA), Smart Data Solutions, Pinnacle Health Solutions, and operators of those entities. The Order demands they immediately stop sales in Maine, issue refunds to consumers, and pay any medical claims people who bought their policies may have filed.

"Promoters of phony insurance collect premiums from unsuspecting consumers, make false promises, and leave consumers with thousands of dollars in unpaid medical bills," Superintendent Kofman says.  "If it seems too good to be true, it usually is.  In most cases like this, there is no insurance, and people who have been paying premiums end up paying their medical expenses too."

Between 2000 and 2002, the last cycle of large scale health insurance scams, more than 140 entities sold phony health insurance to more than 15,000 businesses and more than 200,000 policyholders nationwide.  These entities left consumers with approximately $252 million in unpaid medical bills.   

It is not known how many Mainers are affected by the illegal activities of ATA.  Superintendent Kofman is asking people who may have been affected to contact the Bureau of Insurance by phone at (207) 624-8475 or toll-free at 800-300-5000 and ask for Kelly Rogers.  They can also contact the Bureau through e-mail at insurance.pfr@maine.gov and include ATA in the subject line; or by mail: ATA Consumer Assistance, Maine Bureau of Insurance, 34 State House Station, Augusta ME 04333-0034.

The Bureau of Insurance is part of the Department of Professional and Financial Regulation, which encourages sound ethical business practices through regulation of insurers, financial institutions, creditors, investment providers, and numerous professions and occupations for the purpose of protecting the citizens of Maine. Consumers can reach the Bureau through its Web site at www.maine.gov/insurance; by calling 800-300-5000 in state; or by writing to Bureau of Insurance, 34 State House Station, Augusta, ME  04333.

This information was copied from the following location:
http://www.mainebiz.biz/news46338.html?Type=search
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