Vitals – June 13, 2019 – Axios

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A Florida-based company that sells short-term insurance plans has been sued by 2 patients who claim they were misled about what kind of coverage they were getting, NYT reports.

  • The policyholders say they thought they were buying Affordable Care Act plans with coverage guarantees from the company, Health Insurance Innovations.
  • But they weren’t. Instead, they ended up with tens of thousands of dollars in medical bills.

The plaintiffs are seeking class-action status and estimate that up to 500,000 people may have bought the plans.

  • Health Insurance Innovations told NYT the lawsuit is meritless.

This is what critics feared when the administration expanded short-term plans, which aren’t required to cover a comprehensive set of benefits and can leave patients vulnerable if they get sick.

  • But supporters say the move expanded access to cheaper options.

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