Indiana is among two dozen states cracking down on so-called medical discount cards. The Federal Trade Commission is accusing several companies of falsely promoting them as insurance. Indiana has sued six such firms in the last 14 months.
Federal Trade Commission Representative David Vladeck says most of the suits over discount cards are based on deceptive advertising.
Indiana has reached settlements totaling $135,000 with three of the companies. State Attorney General Greg Zoeller says the state has used its do-not-call and do-not-fax laws to clamp down on the companies before they have time to collect a list of victims.
Zoeller’s office has received over 1,500 complaints of unwanted faxes or auto-dialed pre-recorded messages during the past two years.