FTC Sues Hims & Hers for Allegedly Sharing Patients' Medical Data
The Federal Trade Commission (FTC) is taking action against healthcare giant Hims & Hers, alleging that the company shared its customers' medical and healthcare information with advertisers and tech giants, including Meta and Snap, without their knowledge or consent.
FTC's Latest Crackdown on Healthcare Companies
The lawsuit is the FTC's latest crackdown in recent years on healthcare companies that share sensitive information with outside companies without their customers' knowledge. Hims & Hers, a publicly traded company, provides prescription medication for sexual wellness, mental health conditions, weight loss, and other issues, and as such handles a large amount of sensitive patient data.
How Pixel-Sized Trackers Work
Companies typically try to learn more about their customers by installing code on their websites in order to share users' information with advertisers. Pixel-sized trackers provided by Meta, Snap, and other tech and advertising giants are used to capture and share users' health information, contrary to Hims & Hers' own privacy policy.
Deceptive Billing and Cancellation Policies
The FTC also accused Hims & Hers of deceptive billing and drawing up policies that made it difficult for customers to cancel, in violation of federal consumer protection laws.
Previous Cases of Data Sharing
The FTC has previously taken action against telehealth startup Cerebral, alcohol recovery provider Monument, data giant GoodRx, and therapy provider BetterHelp, all of which were similarly accused of sharing patients' sensitive data through their websites to third-party tech giants and advertisers.
The Importance of Data Protection
The use of pixel-sized trackers has previously revealed how people's sensitive data gets shared with the companies who provide the code, highlighting the importance of data protection and the need for companies to be transparent about how they collect and use user data.
Hims & Hers did not explicitly deny the FTC's claims in a statement on its website, instead claiming that its privacy policy 'makes clear' that users 'may choose how their data is used' and that the company is 'confident' in its position. The company plans to defend against the FTC's allegations.
