I too got screwed by Direct Med. I cancelled after about 6 months because during that short time, I noticed the "Service Administrator" changed twice, with the third one showing on my bank statement as being in Beirut Lebanon. That's when I knew they were a fraud. I bought their insurance after my Cal-Cobra expired. They never represented this as a substitute for major medical insurance, just a plan that has worked with providers for "discounts" off their regular charges. They don't actually pay out anything to providers. The main purpose of this plan seems to be for things like motel discounts, rental car discounts, etc... I checked online for my doctor, local hospital, and local labs. Every one was listed. Well, my doctor did take the card because it was Beech Street network, but office visits were $10 more than he charges if you have no insurance. In Feb 2010, I was hospitalized for 8 days. The local hospital wouldn't use this coverage, partly because they already give local residents a discount larger than with Direct Med. I am also unemployed, and that qualified me for a charity that paid my hospital bill. I was supposed to get a blood test every 2 weeks after that. I called Direct Med for labs in my area, and was told that there were none within 30 miles of me, even though they were listed when I first enrolled, and I live in a city with a large regional hospital and big medical support community.
My biggest problem with them is the supplemental insurance. That is where they pay you for covered body part losses, certain surgical procedures, and hospital stays. I am supposed to get $500/day for 7 of the 8 days I was in the hospital. This policy is like the AFLAC policy you see on TV (except AFLAC actually pays out benefits). After a month of trying to get a claim form from Direct Med, I finally called the US Life Insurance company (actually it is American General, part of the AIG group that got a federal bailout and then gave their execs multi-million dollar bonuses and expensive outings) and they sent me a claim form. I filled it out with the authorizations to release my hospital and doctor records to them for review. So I don't hear from them for a month and I call. They say they need more info and send me a letter saying they need all my pharmacy and doctor records for the 12 months prior to my hospitalization. So I send them the info with signed authorizations. After a month or so, no word. I call, they say that they are still waiting for the 4 providers to send info. Well, I called the 3 pharmacies and 1 doctor, and they ALL said they never received any request. Ok, I called Am General back and talked to a supervisor. She asked me to get fax numbers for the providers and she would fax the requests to them. I faxed her the info and checked a couple weeks later with the providers, and AGAIN, all 4 said they never got any request. So I contacted all 4 and got the records myself and FedEx'd them to the supervisor and they received it in early October. On Friday 12/7/10, I called to check status and was told that they have the info and he would EXPEDITE the claim through the review board. Well, no word again. I called again on 12/17/2010 and spoke again to a "supervisor", although not the one from before (how many supervisors do they need?). She said I delayed in getting this additional info to them and it only arrived in early Dec. I have the FedEx tracking info saying they received it on Oct 11th. So I am now sitting here with no job, no insurance, high medical maintenance costs I can't afford, so I don't get the treatments I need. At the end of the month I will be homeless (or check out completely) because these jerks can't get my claim settled in time.
My advice: DO NOT GET ANY OF THESE SO-CALLED DISCOUNT MEDICAL PLANS. DON'T DEAL WITH DIRECT-MED. DON'T DEAL WITH AMERICAN GENERAL, UNITED STATES LIFE, OR ANY AIG COMPANY. YOU WILL GET SCREWED