United pays $250,000 to settle with Vermont regulators over ads

NEWS IN BRIEF — Posted Feb. 20, 2012

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UnitedHealth Group has paid a $250,000 penalty to the Vermont Dept. of Banking, Insurance, Securities and Health Care Administration over allegedly misleading ads for its Medicare supplement coverage. The department announced the agreement Feb. 8.

In a filing Dec. 5, 2011, Vermont regulators found that the ads circulated during enrollment season in the fall of 2011 suggested that Medicare supplement coverage would be available at no cost to subscribers. The ads had not been cleared by the department ahead of time as required by state law.

"The size of the penalty imposed on United is intended to express BISHCA's concern with United's alleged behavior," Stephen Kimbell, the department's commissioner, said in a statement.

United spokesman Matthew Burns issued a statement saying: "We are pleased our differing interpretations of state and federal regulations have been resolved. We will continue serving Vermont Medicare beneficiaries in alignment with the state's expectations."

Note: This item originally appeared at

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