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Federal Contractor Misconduct Database (FCMD)

The federal government routinely awards contracts to companies with histories of misconduct, including contract fraud and other violations. POGO believes that providing this website will help to improve contracting decisions and increase public knowledge of how the government spends billions of taxpayer dollars each year. Read more…

Sending Misleading Letters to Kentucky Policyholders

The Kentucky Department of Insurance fined Humana $65,430 for sending misleading letters to its customers. In August 2013, Humana sent letters to 6,543 individual plan policyholders in Kentucky notifying them that they needed to renew their plans within 30 days or choose a more expensive option that complied with the Affordable Care Act. The letters did not make it sufficiently clear that policyholders could compare and choose competing plans on Kentucky’s health insurance exchanges, scheduled to open on October 1, 2013, and for which they might qualify for federal subsidies. Humana’s letters mentioned the exchange enrollment period in a footnote and informed customers they could get the cheaper premium option by agreeing to changes that had not been approved by Kentucky regulators.

Misconduct Type
Consumer Affairs
Enforcement Agency
State/Local
Contracting Party
None
Court Type
Administrative
Disposition
Fine
Date of Fine
9/10/2013
Contractors Involved Penalty
Total
Humana $65,430
Further Information Released
Penalty Order 9/10/2013

Federal Contractor Misconduct Database