On January 23, 2026, the Federal Trade Commission (FTC) announced a significant legal action against a group of companies and individuals accused of running a deceptive health care telemarketing operation. A U.S. district court in Florida has temporarily halted their activities, which the FTC claims caused tens of millions of dollars in consumer harm through misleading marketing of health care plans.
According to the FTC’s complaint, Top Healthcare Options Insurance Agency, Inc. and eleven related defendants engaged in a telemarketing scheme that preyed on consumers seeking comprehensive health insurance. The agency alleges that these operations specifically targeted individuals searching for health insurance options online, presenting plans that appeared comprehensive but ultimately provided limited coverage.
The FTC’s findings suggest that the plans marketed by these defendants were misrepresented. They often promoted themselves using terms like “Affordable Care Act Plans,” “Obamacare Health Insurance Carriers,” and “2024 Obama Care Plans,” leading consumers to believe they were purchasing legitimate health insurance. In reality, these offerings fell significantly short of comprehensive coverage, leaving many buyers vulnerable to substantial medical expenses.
Christopher Mufarrige, a lawyer with the FTC and Director of the Bureau of Consumer Protection, emphasized the importance of transparency in health insurance marketing. He stated, “Health insurance is one of the most important and costly purchases consumers buy for themselves and their families. Affordability is front-and-center right now in consumers’ decision-making process. This makes ensuring they have all the information necessary to make informed choices even more important.”
The complaint alleges that consumers were misled into providing personal information on websites designed to collect leads rather than genuinely offer health insurance. These sites, while appearing legitimate, functioned primarily to gather consumer data, which was then sold to the defendants or their vendors for telemarketing purposes.
When reaching out to potential customers, the defendants reportedly employed tactics aimed at diverting attention from comprehensive coverage options. Instead, they directed consumers toward their limited benefit plans, which offered significantly less health care protection. This approach left many individuals with thousands of dollars in out-of-pocket medical expenses, contrary to their expectations of comprehensive coverage.
The FTC’s complaint charges the defendants with making false representations regarding their products. Specifically, they allegedly claimed that their limited benefit plans and medical discount memberships were equivalent to comprehensive health insurance, labeled as Preferred Provider Organization (PPO) plans, and promised substantial coverage for specific medical needs. Additionally, they purportedly misled consumers regarding their financial responsibilities, suggesting fixed low costs through copays or deductibles.
The legal action also cites violations of the Telemarketing Sales Rule and the FTC Act. The commission seeks not only refunds for affected consumers but also other forms of relief to address the alleged misconduct. Following the FTC’s request, the court has issued a temporary restraining order against the defendants, effectively halting their operations for the time being.
This case underscores the ongoing efforts of the FTC to protect consumers from deceptive marketing practices in the health care sector. As health insurance remains a critical and often costly decision for individuals and families, the importance of accurate and truthful advertising cannot be overstated. The FTC’s actions aim to ensure that consumers can make informed decisions without being misled by fraudulent schemes.
