CEO Convicted of Health Insurance Scam Sentenced to 25 Years

The owner of a south Florida-based telemarketing company was sentenced to 25 years in federal prison for causing his employees to sell limited indemnity health insurance plans to unsuspecting consumers, the Justice Department announced Thursday.

Steven Dorfman owned, operated, and functioned as the CEO telemarketing company Simple Health, which trained employees to use deceptive sales tactics to scam consumers into purchasing limited indemnity insurance plans, the DOJ said. The plans covered relatively low amounts of medical expenses and once the low caps were reached, the consumers were then responsible for paying 100% of their medical expenses.

The department said ...