Information from the Office of Insurance Regulation re Consumer Alert: OIR Adds Valuable Links to Its Website 9/08/06
Jan 14, 2007
Please find below news from the Florida Office of Insurance Regulation. Should you have any questions or concerns, please do not hesitate to contact this office.
Regards,
Fred E. Karlinsky
CONSUMER ALERT: OFFICE OF INSURANCE REGULATION ADDS VALUABLE LINKS TO ITS WEBSITE
Tallahassee (September 7, 2006) � The Office of Insurance Regulation has added some new pages to its website (http://www.floir.com ) that may be of interest to consumers, media and industry.
The first is a Property and Casualty Joint Underwriting Association (PCJUA) web page (http://www.floir.com/PCJUA/Index.htm). The FAQ link contains answers to questions about the new PCJUA.
The next link is to the Property and Casualty Insurance Reform Committee web page (http://www.floir.com/PCIRC/index.htm). This page contains information on Lt. Gov. Jennings� Insurance Task Force.
Finally, the Office added a link to Citizens� Wind-Only areas around the state (http://www.fwua.com/Streetdirectory.htm) on its Hot Topics page. There, agents and policyholders can type in a street address to see if that address is in the wind pool. There is also a link on that page to a map of the wind-only areas. Please be aware that this directory is often modified and the information contained within it is subject to change.
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INITIAL DISCOUNT MEDICAL PLAN EXAMINATIONS SHOW PROBLEMS
TALLAHASSEE (9/08/2006) � The Florida Office of Insurance Regulation (Office) today finalized its first three examinations of Discount Medical Plan Organizations (DMPO). DMPOs are not health insurance, but offer negotiated discounts on health, dental, vision and/or other medical services. Legislation passed two years ago was intended to regulate this growing industry, as Florida�s consumers were often misled into confusing the less expensive DMPOs with comprehensive health insurance plans.
“The first three exams show problems with this industry. We found several instances of companies using unapproved forms, using misleading and prohibited words like �co-pay� and �comprehensive�, and not being upfront with the required disclosures. These problems are precisely why the Legislature took action to regulate these programs,” Commissioner McCarty stated. “The good news is we have seen a significant decline in the number of consumer complaints regarding DMPOs, so the new law is working to protect consumers.”
The Market Investigations Unit intends to examine all newly licensed Discount Medical Plan Organizations for the period beginning when the new law became effective April 1, 2005. These examinations are being performed in an effort to identify areas of noncompliance as soon as possible so corrective action can be taken to prevent harm to the consumers of Florida. The first three companies examined included Starmark Benefits Incorporated, Aetna Life Insurance Company, and Compbenefits Company.
The examination also discovered instances of improper refunds for cancellations, disclosures not being the required size on the websites, and the use of other misleading language in company advertising such as: health, pharmacy, disability, long-term care, and fee-for-service.
The Office has finalized the three reports, and will mandate corrective action plans for each of the three companies. The reports can be found on the Office�s website at: http://www.floir.com/market_conduct/DMPO.htm .