FTC Targets Telehealth Firms Over Data Sharing and Billing Practices
Federal regulators have filed lawsuits against several telehealth companies, including Hims & Hers, alleging they shared customer health data with tech platforms without consent and enrolled users in hard-to-cancel subscriptions. Current privacy laws often do not cover these firms, leaving consumers with limited protections. Experts advise users to be cautious about what information they provide when signing up for online health services.
The FTC's complaint against Hims & Hers follows similar actions against BetterHelp and GoodRx, where regulators alleged unauthorized sharing of user health data with Meta and Google. Federal privacy law, including HIPAA, generally does not extend to these digital health platforms, leaving a regulatory gap that critics say allows widespread data collection without meaningful oversight.
Research cited in the article found that among nearly 50 telehealth companies selling GLP-1 weight-loss drugs, fewer than one-third required real-time consultations with physicians. Many prescriptions were approved automatically within minutes, and only about half of the companies asked about eating disorders on intake forms—a condition these drugs can potentially worsen.
This pattern of enforcement could reshape consumer trust in digital health services, particularly as telehealth becomes a primary entry point for sensitive treatments like weight-loss and mental health medications. Patients may face greater uncertainty about whether their medical details remain private, while regulators' actions could push the industry toward more transparent consent practices and genuine physician involvement. The outcome may influence how millions of Americans weigh convenience against privacy and safety.