The two masterminds behind a telemarketing company's health insurance scam faced justice for their deceptive ways. Steven Dorfman, 39, and John A. Sand, 49, both hailing from Fort Lauderdale, Florida, were found guilty on a slew of charges, including conspiracy to commit mail and wire fraud, four counts of mail fraud, and eight counts of wire fraud, as announced by the U.S. Attorney's Office. According to trial evidence, their company, Simple Health, misled thousands with hollow promises of robust health coverage. The Department of Justice has made it clear that their actions led to financial ruin for many.

Using high-pressure sales tactics, Simple Health, formerly known as Health Benefits One, peddled inadequate indemnity insurance plans, trapping consumers with hefty medical expenses once their policy's low limits were hit. Evidence presented by U.S. Attorney Rachelle Aud Crowe's team depicted a company bent on profit at any human cost, with Dorfman and Sand at the helm. "The defendants used a south Florida business known as Simple Health to fraudulently sell relatively worthless policies to unsuspecting victims," Crowe said, asserting the profound impact of the fraud on the lives of the deceived.

The prosecution laid bare the scripted lies fed to sales teams meant to hoodwink customers into believing they were getting full medical coverage, playing on their desire for security. For example, Dorfman and Sand's script included assurances that patients would owe "pennies on the dollar" for medical expenses. Beyond the script, employees went off-book, weaving even more falsehoods, according to court documents.

This elaborate scheme went on unchecked from May 2012 through November 2018, duping over 400,000 Americans and lining Simple Health's pockets with more than $190 million. The impact was also felt locally, as "the company sold more than 1,400 of these limited indemnity policies to individuals from all 38 counties in the Southern District of Illinois," the U.S. The Attorney's Office is detailed. Dorfman's day of reckoning is set for May 21, 2024, while Sand's sentencing follows on May 22, 2024.

The case, spearheaded by the St. Louis Office of the U.S. The postal inspection service may offer some closure to victims, though the scars of financial strain remain. The Federal Trade Commission initially flagged the operation, leading to the shutdown of Simple Health's scam and a transition of the company's affairs to a court-appointed receiver.