Live Transfers and "Major Medical" Claims: Superseding Indictment Against a Pennsylvania Health Plan Call Center

What happened

On May 14, 2025, the U.S. Attorney's Office for the Eastern District of Pennsylvania, part of the Department of Justice (DOJ), announced the unsealing of a superseding indictment. The corporate defendants were Bene Market LLC and Seguro Medico LLC, doing business as Quick Health, Q Health, Benefits Now, Express Benefits and YourBenefits4U (the "Bene Market Group"). They operated a call center near Reading, Pennsylvania.

The individual defendants were Alan Redmond, 42, of Wyomissing, Pennsylvania, described as the principal architect; senior executives Arthur Walsh, 65, and Jesus Barrera, 32; and head sales agent and manager Albert Groff, 44.

The allegations

According to the 44-page indictment, from at least January 2018 through December 2022:

• The Bene Market Group paid lead generators for live transfers of consumers shopping for health insurance.
• Employees falsely said the company was "the national enrollment center for health insurance" and compared plans across the entire marketplace.
• They falsely claimed to "work with over 30 of the top A-rated insurance companies."
• In reality, they sold a limited set of discount and limited benefit plans, some of which were not insurance at all, while representing them as major medical insurance or its equivalent.
• They allegedly used unlicensed sales employees, bundled products to mimic major medical coverage, used misleading scripts and trade names, and engaged in "churning" and "policy-flipping."

Tens of thousands of consumers were allegedly left without coverage for most medical, dental and prescription costs, some with medical debt in the tens or hundreds of thousands of dollars.

The indictment also alleges that Redmond used nominees, including his spouse, to obscure control of Seguro Medico, and withheld over $1.2 million in trust fund taxes from employee wages without paying them to the IRS.

The Federal Bureau of Investigation (FBI) and IRS Criminal Investigation (IRS-CI) investigated, with help from the Pennsylvania Attorney General's Office. These are allegations, and the defendants are presumed innocent.

Why it matters

The live-transfer model is common in health insurance marketing. A lead generator talks to the consumer, then transfers the call to a sales floor. This case shows the risk on the receiving end. The seller controls what is said after the transfer, and answers for it.

Consent also matters at the front end. Under the Telephone Consumer Protection Act (TCPA), outbound calls using prerecorded voices or certain dialing technology require appropriate consent, and sellers can be liable for calls made on their behalf.

Practical steps

• Describe plan types accurately. Never call a limited benefit plan "major medical."
• Use licensed agents where state law requires.
• Audit post-transfer scripts and call recordings regularly.
• Vet lead generators for consent practices and keep the records.