, /PRNewswire/ -- In a significant step toward protecting consumers and ensuring the integrity of health plan enrollments, industry leaders have come together to launch Member Defense Network (MDN). MDN is a secure enrollment registry designed to prevent Unauthorized Plan Switching (UPS) in the Affordable Care Act (ACA) Marketplace. Insurance agents play a crucial role in the growth and success of the ACA Marketplace.
Of the more than 16 million people who enrolled in marketplace coverage for Plan Year 2024, nearly 80% worked with an agent to navigate the complexities of the health insurance enrollment process. Alongside this growth, a significant problem has emerged in the form of Unauthorized Plan Switching (UPS), a form of where consumers are unknowingly switched to another plan or have their agent of record changed without their consent. This practice can lead to lapses in coverage, loss of access to preferred providers, and unexpected costs for consumers.
MDN is a secure enrollment registry that identifies duplicate submissions across insurers, identifies the consumer's desired coverage based on what they consented to, and reports potential to regulators and law enforcement. MDN intelligently enforces existing CMS consent regulations and utilizes 'smart' 2-factor authentication to validate member intent with minimal enrollment friction, ensuring those who need coverage have access to it. If potential is detected, MDN prevents the payment of commissions for fraudulent enr.