Telehealth firms face FTC lawsuits over data sharing and subscription traps
The FTC has sued telehealth pioneer Hims & Hers for allegedly exposing patient data, enrolling users in hard-to-cancel subscriptions and bypassing real-time doctor consultations.
The Federal Trade Commission has filed a lawsuit against Hims & Hers, alleging that the company shared patients' medical data with advertisers, enrolled them in recurring prescription plans without clear consent, and skipped live physician consultations. The complaint says Hims marketed its service as a private, fully online experience while secretly passing information to Meta, Google and other platforms. The FTC has pursued comparable actions against more than half a dozen telehealth providers, including BetterHelp and GoodRx, for similar data-sharing practices.
Legal scholars point out that HIPAA does not apply to many online health services, creating a loophole that lets companies sell sensitive health details. Although state privacy statutes are emerging, enforcement against telehealth firms remains limited, and most penalties involve agreements to halt the contested behavior. Privacy advocates suggest using ad blockers, private browsers, and scrutinizing user agreements to mitigate exposure.
Why it matters
Consumers' medical data may be sold without consent, raising privacy and safety concerns in the growing telehealth market.
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