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In July 2012, a class action was filed on behalf of Wisconsin residents claiming that Cinergy Health “intentionally played upon the vulnerabilities of people who either could not qualify for, or could not afford, traditional ‘major medical’ health insurance coverage by falsely presenting the American Medical policies as a low cost way to obtain such coverage.” The complaint claims that through false and misleading infomercials, Cinergy convinced consumers that American Medical insurance was offering major medical coverage when in reality the insurance coverage was quite limited. This is not Cinergy Health’s first brush with the legal system. Cinergy has been sanctioned by at least four states, Arkansas, Florida, Maine and New York, for deceptive marketing practices. (Wiedenbeck. v. Cinergy Health, Inc., et al., Case No. 12-cv-508, W.D.Wis.)
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