Plaintiff v AARP

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Couple Sues AARP Over Health Plan Marketing

Case ID: 5692
Category: Insurance
 
Last Update: 11/20/2009
Country:
 

A Texas couple has filed a federal class action against AARP in the District of Columbia, alleging the group used misleading marketing to sell its health insurance policies.

The suit, filed in the U.S. District Court for the District of Columbia, claims that James and Allison Halpern purchased an AARP Medical Advantage Plan in March 2008, after receiving an advertising packet touting it as a primary insurance plan. The couple dropped their old health insurance policy. But after Allison Halpern was diagnosed with breast cancer, they learned their new plan only provided limited coverage, and would not pay for the cost of a crucial surgery.

According to the complaint, AARPs advertising materials did not indicate that the health plan only provided limited coverage. AARP suspended sales of the policies earlier this year when Sen. Chuck Grassley (R-Iowa) opened a congressional investigation into their marketing.

The suit accuses the company of violating the D.C. Consumer Protections Procedure Act. It argues the D.C. court has jurisdiction because AARP is located in the District.

A lawyer for the Halperins, Jerome Noll, of counsel with White Plains, New York-based Meiselman, Denlea, Packman, Carton & Eberz, said he knew of one other class action filed against AARP.

For more information please contact:

Jerome Noll
1311 Mamaroneck Avenue
White Plains, New York 10605
Phone: 914-517-5000
Website: http://www.mdpcelaw.com

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