Dr. Ruiz Leads Effort to Combat Fraud in Health Insurance Exchanges – National Consumers League

October 31, 2013

Contact: Michael Ford, Michael.Ford@mail.house.gov

Washington, DC–Today, Dr. Raul Ruiz (D-Palm Desert) was joined by 32 Members of Congress in sending a letter to Department of Health and Human Services (HHS) Secretary Kathleen Sebelius, Attorney General Eric Holder, and Federal Trade Commission (FTC) Chairwoman Edith Ramirez, urging that they prioritize resources to combat fraud in the Affordable Care Act health insurance exchanges.

In the letter, Dr. Ruiz and his colleagues wrote: “Across the country, misinformation about the Affordable Care Act health insurance exchanges is creating opportunities for con artists to defraud families, seniors, and small businesses. Criminals who defraud consumers for financial gain must be brought to justice. We urge you to devote more resources towards educating consumers, investigating complaints, and taking swift legal action to crack down on fraud.”

“Experience has demonstrated that scam artists will attempt to capitalize on consumer confusion about new government programs to defraud consumers,” said Sally Greenberg, National Consumers League (NCL) executive director. “Expanding health care to millions of uninsured Americans has long been a goal of NCL. We must not allow fears of potential fraud to derail the success of the ACA.”

Currently, there are reports of criminals preying on consumers as they begin to shop for affordable health insurance on the state and federal exchanges.

Yesterday, at a meeting of the House Energy and Commerce Committee HHS Secretary Sebelius acknowledged this issue and discussed the importance of addressing fraud in the exchanges.

Dr. Ruiz’s letter was signed by the following Members of Congress: Rep. Costa (CA), Rep. Cardenas (CA), Rep. Michaud (ME), Rep. Roybal-Allard (CA), Rep. Gabbard (HI), Rep. Peters (CA), Rep. Swalwell (CA), Rep. Lujan (NM), Rep. Sinema (AZ), Rep. Meng (NY), Rep. Negrete McLeod (CA), Rep. Sherman (CA), Rep. Enyart (IL), Rep. Honda (CA), Rep. Napolitano (CA), Rep. Cartwright (PA), Rep. Esty (CT), Rep. Hastings (FL), Rep. Vela (TX), Rep. Hinojosa (TX), Rep. Foster (IL), Rep. Barber (AZ), Rep. Garcia (FL), Rep. Brownley (CA),  Rep. Frankel (FL), Rep. Becerra (CA), Rep. Rangel (NY), Rep. Jeffries (NY), Rep. Capps (CA), Rep. Murphy (FL), Rep. Gallego (TX), Rep. Cuellar (TX).

Additionally, the letter is supported by the National Consumers League, the National Hispanic Medical Association, and the League of United Latin American Citizens.

Click here for the full letter.

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About the National Consumers League

The National Consumers League, founded in 1899, is America’s pioneer consumer organization. Our mission is to protect and promote social and economic justice for consumers and workers in the United States and abroad. For more information, visit www.nclnet.org.

Consumer groups outline shutdown’s impact on consumer protection – National Consumers League

October 11, 2013

Washington, DC – A coalition of leading consumer groups today sent a letter to Members of Congress calling out the lapses in consumer protection caused by the ongoing government shutdown.

The letter highlights how the shutdown has hindered work across a wide array of issues, including airline and auto safety, food and product safety, financial services and investor protections, as well consumer protection efforts at the EPA, FCC, FDA and FTC. Consumers Union, Consumer Federation of America, National Consumers League, Consumer Action, National Consumer Law Center on behalf of its low-income clients, Public Citizen, National Association of Consumer Advocates, and US PIRG signed on to the piece calling for an end to the impasse.

The groups write, “Consumers rely on the government to ensure the safety of the food they eat, the air they breathe, the products they use, the cars they drive, and the planes on which they fly.  Consumers also expect that the government will help to protect them from predatory financial schemes, fraud and scams.  Many of these consumer protections have been significantly curtailed as a result of the shutdown…We urge a speedy resolution of the shutdown so that the government can resume its critical role on behalf of all consumers.”

Rachel Weintraub, Legislative Director and Senior Counsel for Consumer Federation of America, will present these concerns in testimony at a Senate Commerce Committee hearing examining the impacts of the government shutdown on our economic security. The hearing is scheduled to take place Friday at 1 pm.

The full text of the letter is below:

October 11, 2013

Dear Member of Congress:

As the government shutdown continues, a coalition of consumer organizations has compiled information about how the shutdown is affecting the safety and wellbeing of millions of American consumers.  We are sharing this document with you today.

Consumers rely on the government to ensure the safety of the food they eat, the air they breathe, the products they use, the cars they drive, and the planes on which they fly.  Consumers also expect that the government will help to protect them from predatory financial schemes, fraud and scams.  Many of these consumer protections have been significantly curtailed as a result of the shutdown. 

Airline Safety

At the Federal Aviation Administration (FAA), 15,514 of 46,070 employees (34%) have been furloughed.  Air traffic controllers and baggage screeners are considered essential and are on the job so air travel continues.  However, most of the staff that supports the air traffic controllers are on furlough.  Virtually the entire safety inspection force has been sent home, with only one manager at every office across the country left to answer the phones.  This is unprecedented in U.S. aviation history; even during the 1996 government shutdown, most safety inspectors remained on the job.  Earlier this week, FAA announced plans to bring back 800 inspectors, oversight staff, and others. But that is only about 15% of the FAA’s furloughed airline safety personnel.

Food Safety

During the shutdown, the Food and Drug Administration (FDA) has retained about 55% of its staff.  According to the Health and Human Services’ shutdown plan: “FDA will be unable to support the majority of its food safety, nutrition, and cosmetics activities.”  This means that FDA will not conduct routine food safety inspections, some compliance and enforcement activities and will not be monitoring imports.  Much of the laboratory and scientific research necessary to inform public health decision-making also will not be conducted.   

Most Department of Agriculture (USDA) inspectors of meat and poultry continue to work.  The USDA’s Food Safety Inspection Service will continue manning every meat production facility with full-time inspectors.  However, a meat and poultry hot line consumers can call for information about food safety or to report problems is closed.  The agency has said that “A lengthy hiatus would affect the safety of human life and have serious adverse effects on the industry, the consumer and the Agency.”

The Centers for Disease Control and Prevention (CDC) has 68% of its staff furloughed, which means that CDC is at significantly reduced capacity to identify and respond to foodborne illness outbreaks, and is unable to support state and local partners in disease surveillance. PulseNet, CDC’s national network of public health laboratories that detects multi-state food-borne illness outbreaks was non-functioning as a result of the shutdown.  This hampered CDC’s capacity to track the recent Salmonella outbreak linked to poultry that sickened close to 300 people.  The employees who run PulseNet are now back to work since the CDC determined that PulseNet was vital to protecting the public from “imminent threats.”  Still, consultation with states and laboratory work to link outbreaks that might cross state borders will remain at reduced capacity during the shutdown.

Environment

The Environmental Protection Agency (EPA) furloughed 96% or 16,205 employees, leaving 613 workers on the job.  Most EPA operations have come to a halt.  EPA programs to protect public health, air quality, and safe drinking water and to regulate pesticides and pollution are mainly longer-term in nature and therefore are not considered essential to prevent imminent risk to human health.  Clean up at 505 Superfund sites (property contaminated by toxic chemicals) in 47 states has been suspended. Some laboratory staff continues to work as are emergency responders (responding to environmental emergencies). Some limited enforcement activities continue, but with skeletal staff.  

EPA’s Energy Star program for certifying energy efficient appliances and electronics is currently closed.  EPA also will not be updating its fuel economy website with new vehicle fuel-economy ratings.  The consequence is that there will be no EPA oversight of the accuracy of new fuel economy ratings until the government reopens.  

Financial Services/Investor Protections

The Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC) are both funded through the appropriations process and thus, are directly affected by the shutdown.  The CFTC, which oversees the commodities market and the bulk of the derivatives market, was immediately forced to furlough the vast majority of its 700 employees, leaving only 28 employees working at the agency.  This comes at a time when both agencies are struggling under enormous workloads to implement the Dodd-Frank Wall Street Reform and Consumer Protection Act and, in the case of the SEC, the JOBS Act.  That process has virtually ground to a halt at the CFTC, where key rules to protect against risks in the derivatives market were just beginning to take effect.  The shutdown also leaves the CFTC with only a handful of people to police the markets for fraud and manipulation, less than 5 of the 50 individuals who normally perform this function.  The SEC has reported that it has enough carry-over funding to allow it to operate essentially normally for “a few weeks.”  But that funding will run out if the shutdown continues for an extended period of time. 

The Federal Reserve, the Federal Deposit Insurance Corporation (FDIC) and the Office of the Comptroller of the Currency (OCC) are self-funded and not subject to the appropriations process.  All will remain open and operational.  Since the Consumer Financial Protection Bureau (CFPB) is funded through the Federal Reserve, it will also remain open and operational. 

In addition, education loan borrowers who have a dispute with their loan servicer (or debt collector) will have a hard time resolving the dispute because the Department of Education’s ombudsman’s office is mostly shutdown.  

Product Safety

Four percent of the Consumer Product Safety Commission’s (CPSC) total workforce remains on the job – that translates into 23 employees (including 5 commissioners) out of 540 full-time employees.  None of the employees currently working are field investigators or port inspectors.  The CPSC is conducting only business that “protects against imminent threats to human safety, and protect government property” and rulemakings, recalls, and civil penalty negotiations are suspended unless they rise to this level of threat.  Saferproducts.gov, CPSC’s consumer incident data base, is receiving reports but will not be publishing them thereby denying consumers the opportunity to learn about potentially dangerous products.

Two terrible examples bring home the impact of the shutdown on the CPSC’s ability to do its critical safety work.  Last Monday, a two year old girl in San Diego, California was killed when a chest of drawers with a television on top of it tipped over and fell on her, crushing her to death.  A one-year-old boy from Hitterdal, Minnesota, swallowed part of a laundry pod last week and has been hospitalized due to his injuries.  He was just moved out of intensive care and is breathing on his own.  However, CPSC is unable to investigate these serious incidents and is unable to work to educate consumers about how to avoid these serious and preventable safety hazards.

Auto Safety

The National Highway Traffic Safety Administration (NHTSA) furloughed 333 workers out of a total of 597.  As a result, NHTSA is not able to alert consumers about recalls.  Rulemakings, defect investigations, research, and testing is also on hold. NHTSA’s web site states that “Due to a lapse of Federal Government funding, NHTSA is unable process safety defect complaints after close of business September 30, 2013.  Consumers can continue to file complaints via this website, but they will not be evaluated by NHTSA staff until funding and services are restored.” Activities funded by the Highway Trust Fund will continue.  These activities include occupant protection and distracted driving research and development under the office of Traffic Injury Control. Any auto safety defects that emerge during the shutdown will not be investigated properly, leaving consumers and our highways at risk.

Federal Trade Commission and Department of Justice

Less than 20% of Federal Trade Commission (FTC) employees (approximately 241 of its 1,178 workers) are exempt from furloughs.   Employees responsible for protecting life and property through the prosecution of enforcement actions are working. Most legal actions have been stayed; for those few cases where the court has not granted stays, agency work continues.  However, the agency expects no rulemakings during the shutdown, and staffers overseeing the Do Not Call registry, Consumer Response Center, and spam database have suspended work.  Consumers who are identity theft victims cannot access information that the FTC provides about the steps they should take or how to report the problem.

The FTC’s website is not functional—on the FTC’s home page, it states, “Unfortunately, the Federal Trade Commission is closed due to the government shutdown: the FTC Premerger Notification Office will be open to accept HSR filings; consumers may file FOlA requests, but they will not be processed; consumers cannot file complaints or register for Do Not Call; all public workshops, roundtables, hearings and conferences are postponed until further notice.” 

The Justice Department’s Antitrust Division is similarly affected.  Sixty-three percent of its workforce has been furloughed.  That could significantly impair its merger enforcement activities, including its pending challenge to the American Airlines/US Airways merger, and other important enforcement activities that protect consumers against harm from anticompetitive business conduct.

Housing Finance

The mortgage market is operated primarily by nongovernmental entities in the private sector, but the shutdown is having an impact in this area.  Mortgage loans may be delayed because the Internal Revenue Service (impacted by the shutdown) is not in a position to verify income for borrowers.  In addition, the Federal Housing Administration (FHA) is operating with only a skeleton staff and is unable to do full quality control reviews of loans receiving FHA mortgage insurance through delegated underwriters.  Over time, this could reduce the quality of the FHA portfolio and lead to higher losses for the insurance fund.

In the affordable rental housing field, the Department of Housing and Urban Development (HUD) has funded current contracts with public housing agencies to provide rental subsidies for very low income renters.  But very shortly current funding will expire, and agencies responsible for paying landlords on behalf of very low income tenants or for directly operating housing for such tenants may be unable to meet their obligations.  Assistance for homeless families and single individuals, typically provided by private, nonprofit operators using federal funds, is also at risk if the shutdown extends further.  Similarly, affordable housing developers are reporting that projects in their pipeline are on hold because officials at HUD and USDA’s Rural Housing Service are unable to respond to questions, process applications for assistance, or sign off on proposed or final development deals. 

Drug Safety and Medical Devices

The FDA is partly funded by user fees, which are paid by pharmaceutical and medical device manufacturers.  Some activities related to the user-fee funded programs, such as product approvals and safety communications for drugs and devices, will continue.  About 75% of the FDA staffers who have been retained have jobs that are funded by user fees.  Nevertheless, FDA’s own website acknowledges that the agency “cannot predict whether we will experience delays in (the programs under the law overseeing drug testing and safety) in the event of a protracted lapse in appropriations.”  The website goes on to say that with regard to medical devices, “certain review activities…may be suspended during the lapse period.”

Energy

The Department of Energy (DOE) has furloughed approximately 69% of its personnel (9,595 furloughs out of 13,814.)  DOE has some multi-year appropriations that will continue to be spent until they run out, but most DOE programs, including research and renewable energy projects, will not be able to operate for very long.  Important efficiency rules related to televisions, furnace fans, and other appliances, which will save consumers millions of dollars, could be delayed because they cannot be published in the Federal Register until the government reopens.

Health/Social Security

The health insurance exchanges are open, and implementation of the American Affordable Care Act proceeds.  Social Security, Medicare, and Medicaid benefits are being paid, but new applications may not be processed until the government reopens.  Depending on the length of the shutdown, payments to Medicare providers may be affected.

Telecommunications

According to the FCC’s shutdown plan, approximately 30 FCC employees – or less than 2% of its approximately 1750+ employees – have been deemed essential and exempt from the furlough.  Among those deemed essential are the three Commissioners (though not their legal advisors), the inspector general, and a small number of employees who are tasked with critical functions such as the protection of life and property, disaster response operations, and integral national security functions.  However, some of the FCC activities that will cease under the shutdown include: merger reviews, responses to consumer complaints, consumer protection, local competition enforcement, licensing of broadcast, wireless, and management of radio spectrum, and equipment authorizations (which bring new electronic devices to the American public).  Work has been delayed on the highly anticipated spectrum auctions and could affect the timing of the first of these auctions, which were supposed to take place in January.  Finally, the FCC has ceased maintaining its online systems, leaving the public unable to access the resources, public comments, and consumer education materials available on its website.

We urge a speedy resolution of the shutdown so that the government can resume its critical role on behalf of all consumers.

Feel free to contact Rachel Weintraub with Consumer Federation of America at rweintraub@consumerfed.org or (202) 387-6121 or Ellen Bloom with Consumers Union at ebloom@consumer.org or (202) 462-6262 for further information.

Sincerely,
Consumers Union
Consumer Federation of America
National Consumers League
Consumer Action
National Consumer Law Center, on behalf of its low-income clients
Public Citizen
National Association of Consumer Advocates
US PIRG

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About the National Consumers League

The National Consumers League, founded in 1899, is America’s pioneer consumer organization. Our mission is to protect and promote social and economic justice for consumers and workers in the United States and abroad. For more information, visit www.nclnet.org.

NCL commends UMWA for historic settlement – National Consumers League

October 11, 2013

Contact: Ben Klein, NCL Communications, (202) 835-3323  benk@nclnet.org

Washington, DC — The National Consumers League, the nation’s pioneering consumer and worker advocacy organization, congratulates its allies at the United Mine Workers of America (UMWA), who have reached a global settlement with Peabody Energy and Patriot Coal. This hard-fought settlement will provide funding of more than $400 million to cover future health care benefits for retirees affected by the bankruptcy of Patriot Coal.

NCL has long been allied with the cause of American workers and has a close and abiding relationship with the UMWA. In 2012, NCL honored UMWA President Cecil Roberts with the Trumpeter Award, NCL’s highest honor.

The following statement can be attributed to NCL’s Sally Greenberg:

We are pleased for our UMWA brothers and sisters, as well as for all active American workers and retirees and are grateful for the indefatigable work of the UMWA to reach this global settlement with Peabody and Patriot,” said Sally Greenberg, the League’s Executive Director. “For months, UMWA has fought long and hard to find compromise, keep Patriot Coal operating, save jobs, and ensure the well-earned security of its retirees. We commend them for their success.

In April of this year, NCL joined one of many protests in St. Louis aimed at Patriot Coal’s bankruptcy that placed in jeopardy the pension and heath care benefits of UMWA retirees. NCL believes that Patriot was set up to fail when it was formed by Peabody with more liabilities than assets in 2007 and we have stood with our brothers and sisters at the UMWA to pressure legislators, Peabody, and Arch, to live up to the agreements they made with workers.

There’s no harder or more arduous job than going down into the mines for 12 hours a day. The work results in ailments from breathing in coal dust and Black Lung disease to injuries caused by the hard labor involved in mining. It’s only fair that these miners and their families get good lifetime health care and a decent retirement plan.

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About the National Consumers League

The National Consumers League, founded in 1899, is America’s pioneer consumer organization. Our mission is to protect and promote social and economic justice for consumers and workers in the United States and abroad. For more information, visit www.nclnet.org.

Consumer group launches campaign to help teens use over-the-counter pain medications safely during the school year – National Consumers League

October 10, 2013

Contact: Ben Klein, NCL Communications, 202-835-3323, benk@nclnet.org

Washington, DC — According to the nation’s pioneering consumer advocacy group, the National Consumers League (NCL), use of over-the-counter (OTC) medications to relieve pain, cold and flu symptoms, and allergies among American teenagers is widespread but often uninformed. The Washington, DC-based nonprofit organization today is launching a national multi-media campaign aimed at educating teens and young adults about the risks of misusing OTC pain medications.

“When it comes to safety and health, teens often think they know more than they actually do,” said Sally Greenberg, NCL Executive Director. “We have found teens as young as 13 years old, uninformed and self-medicating with OTC medications. And, while many teens do look to their parents and other adults for counsel and instruction about using OTC medications, many adult consumers aren’t properly using the medications themselves, setting a bad example for their children, and putting themselves at risk of serious health consequences.”

Today NCL is launching TakeWithCare.org, an interactive site for teens to educate about the safe use of OTC pain medications. TakeWithCare addresses some of the most common misconceptions about the safety of the medications: the importance of reading and following labels, taking the labeled dose and consulting with parents and health care professionals. NCL has also created new OTC safety curriculum for its LifeSmarts program, a national consumer education competition and in-classroom aid for middle and high school students, and is today releasing the research about teen use of OTC medications that was used in the development of the new site.

Over-the-counter pain medications containing acetaminophen and non-steroidal anti-inflammatory drugs are among the most commonly used drugs in the United States, yet also pose dangers when misused. Taking more than the recommended amount can cause liver damage (in the case of acetaminophen) and stomach bleeding (in the case of NSAIDs). According to the Food and Drug Administration, many cases of overdose are caused by patients inadvertently taking more than the recommended dose of a particular product, taking multiple medicines containing the same active ingredients, or by taking both OTC and prescription versions concurrently.

Research commissioned by NCL has found that Americans, young and old, are in need of education on the safe use of OTC pain medication, and it was this research that drove the organization to produce the new educational campaign. The 2009 Harris Interactive survey conducted online among both teens aged 13 to 17 and adults aged 18 and older, found that nearly as many American teenagers (75 percent) as adults (84%) have used OTC pain medications  in the past year. Nearly two in three of teen respondents (64%) said they have used an OTC pain medication in the last six months, most commonly for headaches, sports or exercise-related pain and muscle aches, or menstrual pain. More than two-thirds (69%) of teen OTC pain medication users consult with their parent(s) before taking the OTC pain medication. The survey found a substantial percentage of teens are using the medicines regularly: Incidence of use of OTC pain medications daily or several times per week is 15 percent among 13- to 15-year-olds, and 21 percent of 16- and 17-year-olds report using OTC pain medications at least several times a week.

Despite how widespread it is, their usage behavior is not flawless: one-quarter of teen OTC pain medication users reported having taken the next dose sooner than directed, expecting more frequent usage to result in better relief. Also alarming to the consumer group, is the finding that many teens taking the medications often do so without awareness of the products’ active ingredients. Only one in four (27%) teens said they knew what the active ingredient is in their most-often used OTC pain medication. This number is lower than among adults, 56% of adults saying they knew the active ingredient in their most often used OTC pain medication.

“If you aren’t aware of exactly what’s in the product you’re taking – whether it’s a pain reliever, cough suppressant, fever reducer, sinus medication, or something else, you’re putting yourself at risk for doubling-up on the same active ingredient and exposing your body to the potential harm caused by that overdosing,” said Greenberg. “Many consumers self-treating pain, cold or flu symptoms may turn to more than one product, often multi-ingredient, without realizing that they’re putting themselves at potential risk of stomach or liver problems.”

“The opportunity to educate teens about proper OTC pain medication use exists when they are young and have the potential to form better habits than their adult counterparts,” said Rebecca Burkholder, NCL Vice President for Health Policy. “As teens age and enter adulthood, they are using OTC pain medications more frequently and with increasingly less adult supervision. While we were pleased to see that the majority of teens are consulting a parent or guardian about such medication use, the goal of Take With Care is to instill good habits across the board.”

Survey Highlights

Use without confidence

Although the majority of teens self report having used OTC pain medications recently, overall, teens lack knowledge about OTC pain medications. In addition, there is little awareness of the active ingredients in their pain medications and they lack familiarity with acetaminophen.

  • Nearly two-thirds of teens (64%) have used OTC pain medications in the past six months. However, nearly three-quarters (73%) of teen OTC pain medications do not know or are not sure of the main active ingredient in the OTC pain medication they take most frequently. For example, fewer than one-fifth of teens (16%) are very or fairly familiar with the active ingredient acetaminophen. One-third of teens (33%) do not believe acetaminophen is sold under the brand Tylenol™, a concern to advocates given that Tylenol is one of the most well-known brands containing acetaminophen.

Dangers of mixing products

  • Despite the fact that nearly half of teens indicate some uncertainty about the safety of using two products that contain acetaminophen at the same time, some teen OTC pain medication users are using OTC pain medications and other medications concurrently, a practice advocates and government health experts strongly caution against.
  • Nearly half of teens (48%) are unsure as to whether it is safe to take two products containing acetaminophen at the same time.
  • Nearly half of teens (44%) are unsure if it is okay to take OTC PMs while taking an OTC product for cold or sinus conditions, and 18 percent of teen OTC PM users have taken an OTC PMs with an OTC for cold or flu.
  • While use of prescription painkillers among teens is low (10%), nearly all teen respondents were unable to correctly identify APAP as the prescription abbreviation for acetaminophen. As their adult counterparts demonstrated a tendency to use prescription and OTC painkillers concurrently (44% had reported doing so), advocates are strongly concerned about teens’ ability to identify what they are taking in order to avoid overdose.

Overuse

Teens admit they are using OTC PMs other than directed on the label.

  • One-quarter (24%) of teen OTC PM users report they have taken the next dose sooner than directed; 15% report they have taken more pills at a single time or more than the number of doses per day as directed on the label (7%).
  • Nearly one third (32%) of teens think that it is either not possible (9%) or are not sure (23%) that one can  overdose on OTC

Parental influence

Most young people rely most heavily on parental guidance when it comes to making health decisions including taking OTC PMs, which, on the surface seems wise, but could pose risks, considering the poor self-reported habits of some of the adults surveyed.

    • Two-thirds (66%) of teens report their parent(s) influence them the most when it comes to making decisions about their health.
    • More than two-thirds (69%) of teen OTC PM users consult with their parent(s) before taking the OTC PM.
    • In general, a relatively small but significant number of teens say they would take OTC medicines without first consulting with a parent (22% say they never or rarely consult a parent) and only 39% say they always check with a parent. Older teens are less likely to consult a parent than younger teens.Only 4% of teens have consulted a healthcare professional always or often about information that was unclear to them on an OTC drug package.
    • 66% of teens say they are most influenced by parents in terms to decision about their health. 12% say other people (like friends, siblings, teachers) and 11% say doctors are the “most” influential.

Following (or not) the labels

Most teens say they read the directions on a new OTC PM, but other elements are read less often. Teens admit to not reading the labels every time they take the medications.

  • Two-thirds of teens (63%) say they “always or often” read the directions the first time they take an OTC medication.
  • Only one in four (28%) teens say they read the active ingredients the first time they take an OTC product, 44% say they never / rarely read this information
  • Roughly half of teens (48 percent) say they always/often read the label information on warning and side effects

About the Survey

NCL commissioned this survey with an unrestricted educational grant from McNeil Consumer Healthcare.

This Knowledge of and Behavior Around Acetaminophen Use Survey was conducted online within the United States by Harris Interactive on behalf of the National Consumers League between May 29. 2009 and June 11, 2009 among 536 youth, aged 13 to 17 and 1,731 adults aged 18 and older, with an oversample of 200 English-speaking Hispanic adults.

Complete survey results, fact sheets for consumers, and other resources are available at www.nclnet.org.

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About the National Consumers League
The National Consumers League, founded in 1899, is America’s pioneer consumer organization. Our mission is to protect and promote social and economic justice for consumers and workers in the United States and abroad. For more information, visit www.nclnet.org.

About Harris Interactive®
Harris Interactive is one of the world’s leading market research firms, leveraging research, technology, and business acumen to transform relevant insight into actionable foresight. Known widely for the Harris Poll® and for pioneering innovative research methodologies, Harris offers proprietary solutions in the areas of market and customer insight, corporate brand and reputation strategy, and marketing, advertising, public relations and communications research. Serving clients in more than 196 countries and territories through our North American and European offices, Harris specializes in delivering research solutions that help us – and our clients—stay ahead of what’s next. For more information, please visit www.theharrispoll.com.

NCL’s Greenberg to be honored by Frances Perkins Center – National Consumers League

October 3, 2013

Contact: NCL Communications, Ben Klein, (202) 835-3323, benk@nclnet.org

Washington, DC—The Maine-based Frances Perkins Center, an organization that carries on the legacy of Frances Perkins, principal architect of the New Deal and first woman to serve in a presidential cabinet, will honor National Consumers League Executive Director Sally Greenberg this week at its annual awards ceremony in Portland, Maine.

Frances Perkins paved the way for future generations of women as the first female appointed to a presidential cabinet position. Perkins served as the U.S. Secretary of Labor for Franklin Delano Roosevelt (and still the longest-sitting secretary of labor in U.S. history), a guest professor of industrial and labor relations at Cornell University, a social worker, a factory inspector, a New York state commissioner of labor, a champion of the New Deal, and a close friend and advisor to FDR.

The Frances Perkins Steadfast Award: Sally Greenberg
Sally Greenberg joined the National Consumers League as Executive Director in 2007. Under Sally’s leadership, the League continues to fight the exploitation of children and teens in the workplace, and enforces the protections provided by maximum hours laws and minimum wage laws. The League runs a special project on Wage Theft, working for paid sick leave locally and nationally, and coordinates the Child Labor Coalition. Sally came to NCL from Consumers Union, publisher of Consumer Reports, where she served as Senior Product Safety Counsel for 10 years.

“I am truly honored to receive this award from the Frances Perkins Center, an organization dedicated to preserving the legacy of one of the 20th Century’s most influential social reformers,” said Greenberg. “Perkins’ early work for the National Consumers League, which introduced her to progressive political figures like NY Governor Al Smith, and later Franklin Delano Roosevelt, is a history the League is proud to share. Perkins is one of my great role models as the League continues to fight for progressive reforms.”

The award is named for Frances Perkins who, after college, ran NCL’s New York chapter, focusing on four areas: poor conditions in cellar bakeries, long hours and poor wages for children, child labor, and workplace fire hazards. Later in life, as Secretary of Labor, Perkins worked to pass unemployment insurance, Social Security, and the law setting wage and hour restrictions known as the Fair Labor Standards Act.

Today, the Frances Perkins Center’s Bernard L. Schwartz Rediscovering Government Initiative provides a progressive framework around the evolving role of government, depicting the ways in which government has fueled innovation, supported social justice, and improved quality of life in America.

What: REDISCOVERING GOVERNMENT: MAKING PEOPLE MATTER
When: October 4, 2013 | 3:30pm – 6:00pm
Where:  Wishcamper Center
Muskie School of Public Service, University of Southern Maine
34 Bedford St, Portland, ME

For more info: www.francesperkinscenter.org

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About the National Consumers League

The National Consumers League, founded in 1899, is America’s pioneer consumer organization. Our mission is to protect and promote social and economic justice for consumers and workers in the United States and abroad. For more information, visit www.nclnet.org.

NCL statement on the US government shutdown – National Consumers League

October 1, 2013

Contact: NCL Communications, Ben Klein, (202) 835-3323, benk@nclnet.org

Washington, DC–Sally Greenberg, Executive Director of the National Consumers League, has issued the following statement in response to the U.S. government shutdown:

We are deeply disappointed about the inability of the government to resolve conflicts and keep the doors of our federal agencies open for business. It appears to us that one extreme faction of the House of Representatives is holding the rest of the country hostage; they don’t like the Affordable Care Act, a historic measure to provide access to health care for the 50 million Americans without that coverage.

The consequences to families across America, to have, for the first time, the ability to take care of their families and get needed treatments is enormous. NCL since our founding in 1899 has strongly supported access to health care for all Americans and we cannot find any justification for further delaying this healthcare lifeline to so many citizens.

These right wing radicals are acting like petulant children – their cause – denying access to health care for the 50 million – has been defeated time and again, but they won’t accept reality. They lost the battle against the ACA in Congress, they lost their effort to overturn the law in the Supreme Court, their candidate for President, Mitt Romney, lost the election against President Barack Obama despite his platform calling for overturning the ACA. Now they have shut the government down and are trying to pin the blame on the President and the Senate for “refusing to negotiate.” That is a distortion of facts and reality. And we are glad the President and the Senate, Republicans and Democrats alike, and many members of the House as well, are not giving in.

We urge all reasonable lawmakers- those who consider themselves statesmen and stateswomen – to come to their senses and understand the consequences of this shutdown on the hundreds of thousands of loyal federal workers who are furloughed, and the impact on citizens across the United States. The American people deserve a better and more representative government.

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About the National Consumers League

The National Consumers League, founded in 1899, is America’s pioneer consumer organization. Our mission is to protect and promote social and economic justice for consumers and workers in the United States and abroad. For more information, visit www.nclnet.org.

Senators Harkin, Rockefeller, FCC’s Clyburn to be honored with prestigious advocacy awards in Washington – National Consumers League

September 27, 2013

Contact: NCL Communications, Ben Klein, (202) 835-3323, benk@nclnet.org

Washington, DC— The National Consumers League (NCL), the nation’s pioneering consumer and worker advocacy organization, will honor Mignon Clyburn, Acting Chairwoman of the Federal Communications Commission (FCC), with its highest honor, the Trumpeter Award, on Tuesday, October 1, in Washington, DC. The event will bring together a diverse group of representatives from nonprofit organizations, labor unions, consumer organizations, and industry to celebrate Commissioner Clyburn’s accomplishments.

Commissioner Clyburn is the first woman to head the FCC and has a long list of accomplishments including: instituting a cap on calling rates for inmates to family and friends, announcing a spectrum auction that will raise an estimated $1.5 billion, negotiating a deal that will allow wireless devices used by smaller carriers to operate on larger carriers networks.

“The Trumpeter Award is NCL’s highest honor given to leaders who have tirelessly advocated for the right of consumers and workers. In just a short time as head of the FCC, Chairwoman Clyburn has demonstrated a commitment to a fair and open communications marketplace for consumers,” said NCL Executive Director Sally Greenberg. “We are very lucky to have such an adept leader at the FCC as Congress continues to delay a vote to confirm Tom Wheeler to that position.”

The first ever recipient of the Trumpeter Award was Senator Ted Kennedy. Previous honorees include Labor Secretaries Hilda Solis, Robert Reich, Alexis Herman, head of the FDA Dr. Margaret Hamburg, AFT President Randi Weingarten, Surgeon General Regina Benjamin, Senators Carl Levin and Paul Wellstone, Delores Huerta of the United Farm Workers, and many others.

NCL will also honor Senators Tom Harkin and Jay Rockefeller with the first-ever Consumer and Labor Leadership Awards. As their retirement from the US Senate draws near, NCL is proud to commemorate their years of service to America’s consumers and workers with this award. Both Senators were recipients of the Trumpeter Award in the early 1990s.

Dana Wiggins, coordinator for the Virginia Partnership to Encourage Responsible Lending (VaPERL) coalition and Director of Outreach and Financial Advocacy for the Virginia Poverty Law Center in Richmond, VA, will receive the Florence Kelley Consumer Leadership Award, named for NCL’s early leader and awarded to grassroots consumer advocates.

The event will feature a reception, dinner, and speaking appearances by NCL leadership and the honorees, as well as:

  • Cecil E. Roberts, International President, Untied Mine Workers of America
  • Mamie Locke, Virginia State Senator
  • Anna G. Eshoo, United States Congresswoman

Event details
What: National Consumers League’s 2013 Trumpeter Awards Dinner
When: Tuesday, October 1, 2013 | 6 p.m. Reception | 7 – 9 p.m. Dinner and Presentation of Awards
Where: Omni Shoreham Hotel
2500 Calvert Street, NW Washington, DC 20008
Questions or to RSVP: Ben Klein, National Consumers League (202) 835-3323

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About the National Consumers League

The National Consumers League, founded in 1899, is America’s pioneer consumer organization. Our mission is to protect and promote social and economic justice for consumers and workers in the United States and abroad. For more information, visit www.nclnet.org.

LifeSmarts, UL bring Safety Smart® initiative to high school student leaders – National Consumers League

September 24, 2013

Contact: Ben Klein, NCL Communications, (202) 835-3323, benk@nclnet.org

Washington, DC—Just after the start of the new 2013 program year, which has been marked by a completely redesigned and improved LifeSmarts.org, the National Consumers League (NCL) is announcing a major expansion to its LifeSmarts program: a new opportunity for high school students to conduct service learning programs in their communities as the result of a partnership with the global safety science company UL (Underwriters Laboratories).

LifeSmarts is an educational competition, run by the 114-year-old nonprofit NCL, that tests middle school and high school students nationwide on real-life consumer issues through online quizzes and live competition. It will culminate with the 20th anniversary national LifeSmarts championship in Orlando in April 2014, where winning teams and individual students are awarded academic scholarships and prizes.

By combining efforts on a joint educational project, this new opportunity expands UL’s decade-long support for NCL and the LifeSmarts competition. Joining UL’s knowledge of safety science with LifeSmarts consumer and marketplace knowledge, the team developed classroom curricula designed to complement and extend the LifeSmarts model. Utilizing UL’s Safety Smart® Program, an initiative aimed at improving awareness and understanding of safety, health, environmental stewardship and societal well-being, the team created turn-key lessons on health and the environment for LifeSmarts participants to deliver to elementary-school children in their own communities. In addition to adding this new service-learning component to the program, LifeSmarts is expanding its content for safety science and the environment and creating new resources and challenges for LifeSmarts competitors.

“We are excited to partner with UL to provide the student leaders involved with LifeSmarts a relevant, hands-on way to give back to younger students in their communities, ” said Sally Greenberg, NCL Executive Director. “The new lessons aimed at younger kids about ‘going green’ and being ‘healthy and fit’ are a win-win, providing high school LifeSmarts participants a dynamic leadership opportunity and their younger counterparts important lessons about being healthy and environmentally-conscious.”

Starting this month, LifeSmarts participants can become Safety Smart Ambassadors, an opportunity to fulfill community service requirements or to simply give back on a voluntary basis. Participants documenting their experiences will have the chance to receive post-secondary scholarships, and win monthly giveaways and iPad minis.

“UL has been a long-time supporter of the LifeSmarts program because we value equipping young people with relevant, real-world knowledge,” said Barbara Guthrie, Vice President, Public Safety Advocacy, Education and Outreach for UL. “We’re thrilled that this partnership gives us an opportunity to recruit new, highly-motivated Safety Smart Ambassadors, and share our safety science knowledge and expertise with all LifeSmarts participants.”

Safety Smart’s guiding principle is that unintentional injuries are avoidable and preventable through Safety Smart choices. When Safety Smart Ambassadors share Safety Smart concepts with children they help to build a consciousness and knowledge by raising awareness and inspiring action. Safety Smart Ambassadors help cultivate children to be safety advocates…safety scientists…safety smart.

The addition of the Safety Smart program is part of a series of recent expansion efforts for the program, including the revamped online competition and learning home, LifeSmarts.org, as well as numerous partnerships in new states: Georgia 4-H, the Louisiana Attorney General’s Office, the Maine Jump$tart Coalition, and Family, Career, and Community Leaders of America in Idaho. LifeSmarts now has formal programs established in 30 states, with partnerships with Better Business Bureaus, credit unions, consumer protection agencies, and Councils on Economic Education. Interested students and adults can visit the LifeSmarts Web site to connect with the program in their state.

For more information about LifeSmarts and the Safety Smart Ambassador program, visit https://www.lifesmarts.org/resources/safety-smart/

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About the National Consumers League and LifeSmarts

The National Consumers League, founded in 1899, is America’s pioneer consumer organization. Our mission is to protect and promote social and economic justice for consumers and workers in the United States and abroad. For more information, visit www.nclnet.org.

LifeSmarts is a program of the National Consumers League. State coordinators run the programs on a volunteer basis. For more information, visit: www.lifesmarts.org, email lifesmarts@nclnet.org, or call the National Consumers League’s communications department at (202) 835-3323.

About UL

UL is a premier global independent safety science company that has championed progress for 120 years. Its more than 10,000 professionals are guided by the UL mission to promote safe working and living environments for all people. UL uses research and standards to continually advance and meet ever-evolving safety needs. We partner with businesses, manufacturers, trade associations and international regulatory authorities to bring solutions to a more complex global supply chain. For more information about our certification, testing, inspection, advisory and education services, visit https://www.UL.com.

Excessive fees, misleading cancellation insurance products drive up airline profits at consumer expense – National Consumers League

September 23, 2013

Contact: NCL Communications, Ben Klein, (202) 835-3323, benk@nclnet.org

Washington, DC – Rising cancellation fees, unaffordable refundable tickets and misleading travel insurance marketing have become hallmarks of the airline industry’s growing drive to profit from life’s unpredictable events. Findings in a new National Consumers League (NCL) report suggest that the airlines are supplementing cancellation/change fees revenue with commissions from the sale of travel insurance policies that are often misleadingly marketed to consumers.

“The fact is, stuff happens and consumers may need to change or cancel a flight. We think it’s a bad business practice for airlines to rely on life’s unpredictability – a child’s broken arm, a parent needing to be taken to the hospital, a cancelled conference – to bring in billions of dollars in revenue,” said Sally Greenberg, NCL Executive Director. “What’s worse, consumers who want to hedge against the risk of expensive change fees by buying travel insurance often find that they aren’t covered when the unexpected happens.”

Notable statistics from NCL’s report, entitled “$tuff Happens: Airlines Benefit Handsomely From the Unexpected … and Consumers’ Fears About It,” include:

  • Cancellation/change fees now account for more than $2.5 billion in airline revenue, an increase of more than 176 percent since 2007;
  • Annual sales of travel insurance and related services increased by approximately 46 percent from 2006-2012 to $1.9 billion;
  • Trip cancellation/interruption policies — the type most often marketed to consumers by airline Web sites and online travel agencies — accounted for 94 percent of travel insurance premiums in 2012, an increase of more than 22 percent since 2006;
  • Refundable tickets are not an affordable alternative for most consumers. On average, the least-expensive refundable ticket is 350 percent more expensive that the least-expensive non-refundable ticket (which make up more than 80 percent of all tickets sold).

As a hedge against rising cancellation/change fees and prohibitively expensive refundable tickets, it is logical for consumers to look to travel insurance. Unfortunately, travel insurance policies are misleadingly marketing by online travel agencies and airline Web sites.  Terms like “worry-free” and “peace of mind is only a click away,” encourage consumers to purchase add-on travel insurance policies during the ticket-buying process without learning about the significant limitations and exclusions hidden in the fine print of these policies.

“In comparison to a potential $200 cancellation fee, 5 percent of the cost of the ticket for travel insurance may seem like a great deal to many consumers,” said report author John Breyault, NCL Vice President of Public Policy, Telecommunications and Fraud. “All too often, however, consumers find that the protection they thought they had is denied due to pre-existing condition exclusions and other fine print.”

To address the linked issues of rising cancellation/change fees, unaffordable refundable tickets and misleadingly marketed travel insurance, NCL is recommending that cancellation/change fees be reduced to zero for changes made more than 5-10 days prior to a trip, consumers be allowed to transfer their tickets to another traveler without a fee and that standby fees be eliminated, among other reforms.

To read the full report, click here.

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About the National Consumers League

The National Consumers League, founded in 1899, is America’s pioneer consumer organization. Our mission is to protect and promote social and economic justice for consumers and workers in the United States and abroad. For more information, visit www.nclnet.org.

Interagency action an important step to protect health insurance marketplace users from scam artists – National Consumers League

September 18, 2013

Contact: NCL Communications, Ben Klein, (202) 835-3323, benk@nclnet.org

Washington, DC – The National Consumers League, the nation’s pioneering consumer and worker advocacy organization, today applauded the announcement of a new interagency initiative to fight back against scam artists looking to take advantage of the launch of the new health insurance marketplaces.

The following statement is attributable to Sally Greenberg, Executive Director of the National Consumers League:

“Consumers will soon begin to benefit from a key part of the Affordable Care Act. The state and federal health insurance marketplaces coming on line on October 1 promise to make health care more affordable for millions of uninsured and underinsured Americans. Unfortunately, experience has shown that scam artists frequently look to take advantage of confusion about new government programs to defraud consumers. That’s why it’s so important that government agencies work together to get ahead of the threat and help protect consumers from unscrupulous con artists. The interagency initiative announced today promises to make life harder for fraudsters who want to profit from consumers’ unfamiliarity with the new marketplaces.”

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About the National Consumers League

The National Consumers League, founded in 1899, is America’s pioneer consumer organization. Our mission is to protect and promote social and economic justice for consumers and workers in the United States and abroad. For more information, visit www.nclnet.org.