California, Other States Take Aim at Discount Health Plans
California and a few other states have increased regulation of discount health plans, for which consumers pay a fee to obtain reduced prices for health services, after advocates and consumers have raised concern that the plans do not make good on their promises. In February, Department of Managed Health Care Director Cindy Ehnes charged one such plan, Easy Life, and its parent company, HealthCare One, with illegally operating in the state and ordered it to stop doing business in California.
- "Consumer Confusion Triggers State Crackdown on Discount Health Plans" (Mertens, Kaiser Health News, 4/28).