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California Consumers Warned of Bogus Discount Health Insurance

October 30, 2006
The California Department of Insurance (CDI) is warning California consumers not to purchase health insurance offered by Prime Med Care or Prime Star Health Care. The department said that the companies and their owners, Jesse and Joe Casares of Houston, Texas, are not licensed to sell insurance in California.

According to investigators, the Casares have sent faxes to consumers advertising their "discount healthcare plans."

The marketing solicitation advertised a "New Health Plan" and "7-day OPEN ENROLLMENT with NO HEALTH QUESTIONS" for the Medical, Dental and a "$10-$40 MAX-PAY PRESCRIPTION CARD" at "ONE LOW PRICE" which "COVERS INDIVIDUAL OR ENTIRE FAMILY."

California Insurance Commissioner John Garamendi said CDI has issued an Order to Cease and Desist, which demands that Prime Med Care, Prime Star Health Care, Jesse and Joe Casares stop transacting any and all insurance business in California.

"We are warning consumers that if they have paid for insurance provided by Prime Med Care, Prime Star Healthcare, Jesse or Joe Casares, they may find they have no coverage," said Garamendi. "These companies are not licensed to sell health insurance, and consumers should not purchase insurance from any of these individuals or companies."

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