The FTC fined GoodRx for sharing consumer health data

The FTC’s GoodRx e-mail addresses a public complaint of violation of the FTC privacy promises and of the Health Breach Notification Rule

In a complaint filed by the Department of Justice on Wednesday, the FTC accuses GoodRx of violating its own privacy promises and the FTC’s Health Breach Notification Rule by failing to notify those using its services that their private health information, such as their medical conditions and prescription medications, was being disclosed to advertising companies and third-party platforms.

The legality of advertising practices in the health and medical industry will be impacted if the order from the FTC is approved by the court.

“Digital health companies and mobile apps should not cash in on consumers’ extremely sensitive and personally identifiable health information,” said Samuel Levine, director of the FTC’s Bureau of Consumer Protection. “The FTC is serving notice that it will use all of its legal authority to protect American consumers’ sensitive data from misuse and illegal exploitation.”

The company’s email about its prescription drug deals and refill reminders changed something in the customers’ inboxes this week.

The notice caught some customers off guard. Users took to the internet to voice their concern about the e-mail, with many wondering how much money the company might have made from their health data and others swearing off using the service.

BetterHelp said in a statement that it was happy to reconcile the matter with the FTC and that they were aware of the agency’s desire to set new precedents. “This settlement, which is no admission of wrongdoing, allows us to continue to focus on our mission to help millions of people around the world get access to quality therapy.”

If the FTC order goes through, customers who signed up between August 1st, 2017, and December 31st, 2020, will get the $ 7.8 million. Here are some of the other things BetterHelp would be required to do:

The requirements would largely be in place for the next 20 years. The FTC said that the agreement will go through a 30-day public comment period before it makes a final decision on whether to put it into effect. It’s worth noting, though, that the proposal passed the commission by a 4 to 0 vote, so it does seem to have a fair amount of support.