Department of Insurance and Financial Services (DIFS) Issues Cease and Desist Order for Misrepresentation of Health Insurance
FOR IMMEDIATE RELEASE: November 9, 2016
(LANSING) The Michigan Department of Insurance and Financial Services (DIFS) has issued a Cease and Desist Order against Health Choice of America (HCA) and the American Small Business Development Association for selling health discount plans and marketing them as health insurance.
DIFS obtained information that HCA was advertising that it was selling group health insurance, association group health insurance, and critical illness coverage when, in fact, it was a health discount plan. By soliciting applications for insurance contracts, issuing what appeared to be insurance contracts, and collecting premiums and other fees for consideration, HCA and the American Small Business Development Association engaged in the business of insurance without the proper authorization.
“Consumers who have purchased what they think is insurance from HCA should review what they purchased and contact DIFS with any questions,” said DIFS Director Patrick McPharlin.
A complete copy of this order can be found on the DIFS website.
If you feel you may be a victim, please contact DIFS at 877-999-6442. For more information about DIFS or the services provided, please visit the website at www.michigan.gov/difs, follow them on Twitter or “Like” them on Facebook.