CONSUMER ALERT: FTC obtains an injunction against Steven Dorfman and Simple Health Plans, alleging deceptive sales of health insurance policies; Health Insurance Innovations (HIIQ) terminates Simple Health as sales agent.
Did you buy a bad insurance plan from Simple Health?If you purchased a bad health insurance plan through Simple Health Plans, or one of their subsidiaries, we want to hear from you. Our attorneys are standing by to listen to your story and discuss options for recovering compensation.
Simple Health Plans: The Alleged Fraud
On Thursday November 1st, the FTC filed a Temporary Restraining Order (TRO) against Simple Health Plans LLC, et al. in order to freeze the assets of the company.
The Federal Trade Commission is working to permanently shut down Simple Health Plans LLC, which it asserts is a ‘sham’ health insurance provider whose owner, Steven Dofrman, has diverted millions of dollars for his own personal use.
According to the FTC, Simple Health Plans was marketing itself to consumers as a provider of comprehensive insurance policies that were compliant with the Affordable Care Act.
In reality, Simple Health customers found themselves deep in debt after receiving medical care they thought was covered with no deductibles. In essence, customers of Simple Health were left completely uninsured “and subjected to nearly unlimited financial exposure”.
At the same time that his alleged victim were reeling from the realization that they were liable for, in some cases, tens of thousands in medical expenses, Dorfman was spending lavishly, including:
- More than $1 million in jewelry
- Luxury vehicles, including a Rolls-Royce Wraith and Lamborghini Aventador
- Cash transfers of $368,000 to The Cosmopolitan of Las Vegas Hotel and Casino
- A $57,000 tab incurred at one nightclub in a single evening, part of $341,000 in total nightclub spending
- Rent on his $1.4 million oceanfront condominium
- Nearly $300,000 for his recent wedding at The St. Regis Bal Harbour Resort in Miami, “for which Dorfman spent $133,000 on flowers alone.”
If you purchased a bad health insurance plan through Simple Health Plans, or one of their subsidiaries, we want to hear from you. Contact the Sonn Law Group online or call us at 305.912.3000. Our attorneys are standing by to listen to your story and answer your questions.