In August 2018, a class-action lawsuit was filed against AARP and UnitedHealth Group for allegedly artificially inflating the charges for Medigap supplemental health insurance policies (which offer extra coverage to Medicare beneficiaries). The complaint alleges that the insurance providers do not disclose that a percentage of the premium consumers pay goes to AARP. In addition, plaintiffs claim that AARP illegally collects a fee for marketing and selling insurance because it is not a licensed insurance agent. (Christoph et al v. AARP, Inc., UnitedHealth Group, Inc., et al, Case No. 18-cv-3453, E.D. Penn.)
For more information about other class-action lawsuits regarding the Medigap insurance policies and TINA.org’s coverage of them, click here.