Attorney General Herbert H. Slatery III has reached a settlement agreement with Medicaid Done Right following allegations that the company misrepresented itself as authorized by or affiliated with the government to assist with TennCare/Medicaid applications.
MDR is a company based in Clearwater, Fl. that contracts with nursing homes to provide Medicaid application assistance to patients and their families. At least two companies that operate several nursing homes in Tennessee have had such agreements with MDR.
In some instances, nursing home patients believed they were required to use MDR’s services and that it was part of TennCare. MDR’s webpage has featured text and illustrations that gave the impression the company was affiliated with Medicaid and that it approved Medicaid applications. This is not true; those tasks are done by the state, said officials.
MDR also failed to disclose that state Area Agencies on Aging and Disability can often perform TennCare/Medicaid application assistance for free. AAADs and their partners can also often help consumers with associated legal tasks free of charge.
“It is understandable that patients and their families may need assistance applying for TennCare,” said General Slatery. “However, the state has resources to help. Any company that offers these services needs to be transparent about that. We appreciate MDR’s willingness to correct its conduct and comply with consumer protection laws.”
In the settlement, MDR agrees to the following:
MDR may not use text or images that could convey the false impression it is authorized by any government entity.
MDR cannot use language suggesting it “processes” and “approves” Medicaid applications or that it does so in a specific timeframe.
MDR will change its webpage so it does not link directly to government Medicaid sites in a manner that suggests it is part of that government entity.
MDR must inform Tennessee consumers that the state is the point of entry for Medicaid benefits and the AAADs can offer assistance with applications and associated legal issues fees.
MDR must provide restitution to Tennessee consumers with assets over the Medicaid income threshold who used MDR or attorneys suggested by MDR, and who requested repayment when contacted by this Office.
To read the Agreed Final Judgment, click here: https://www.tn.gov/content/dam/tn/attorneygeneral/documents/pr/2020/pr20-29-complaint-afj.pdf