Ohio Regulators Investigate Benefits Brokers

The Ohio Department of Insurance is still checking to see whether insurance brokers told government agency clients enough about their compensation arrangements.

Regulators announced Wednesday that 2 companies, units of UnitedHealth Group Inc., Minnetonka, Minn., and WellPoint Inc., Indianapolis, have signed consent orders resulting from allegations that brokers accepted compensation from the carriers while holding themselves out to be working solely interest of public entity clients.

In the consent orders, the companies have agreed to help the Ohio department “in any current or future administrative and/or criminal actions against any of its current or formerly appointed agents related to the improper conduct engaged in by those appointed agents with respect to compensation practices,” according to the texts of the consent orders.

The companies also have agreed to do a better job of complying with Ohio ethics rules.

The UnitedHealth unit, UnitedHealthcare of Ohio, has agreed to pay a $125,000 administrative penalty and $50,000 in administrative costs.

The WellPoint unit, Anthem Blue Cross and Blue Shield, has agreed to pay a $25,000 administrative penalty and $5,000 in administrative costs.