Discount medical cards: innovation or illusion?
Discount medical cards have come under increasing scrutiny by regulators and law enforcement officials as a result of mounting consumer-reported problems. For their study, the authors tested five cards available in the Washington, D.C., metro area; interviewed card company representatives, state attorneys general insurance regulators, and insurance agents; and reviewed court and administrative actions. While some cards provide a measure of value, other cards were found to have serious drawbacks, including: high-pressure sales tactics; misleading or inaccurate promotion; exaggerated claims of savings; difficulty finding participating doctors; and providers who failed to give cardholders promised discounts. Some discount card companies are seeking to reform the market through a trade association and voluntary code of conduct. Still, legislative and regulatory interventions will be needed to protect consumers in an unregulated and growing market.
Kofman
Mila
M
Health Policy Institute, Georgetown University, USA. mk262@georgetown.edu
Libster
Jennifer
J
Bangit
Eliza
E
D000329:Advertising / Q000941:ethics; D003258:Consumer Behavior; D003257:Consumer Product Safety; D017046:Cost Savings / Q000191:economics / Q000941:ethics* / Q000592:standards; D003365:Costs and Cost Analysis; D004219:District of Columbia; D005607:Fraud / Q000941:ethics / Q000331:legislation & jurisprudence / Q000517:prevention & control*; D006297:Health Services Accessibility; D006801:Humans; D007348:Insurance, Health / Q000191:economics / Q000941:ethics; D008004:Licensure / Q000331:legislation & jurisprudence* / Q000592:standards; D008389:Marketing of Health Services / Q000941:ethics / Q000331:legislation & jurisprudence / Q000592:standards; D017057:Medically Uninsured; D013219:State Government; D014481:United States