FTC Sends Refunds to Consumers Deceived by Genetic Testing Firm 1Health.io

[David H. Lipman]

FTC Sends Refunds to Consumers Deceived by Genetic Testing Firm 1Health.io Over Data Deletion and Security Practices

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he Federal Trade Commission is sending refunds to more than 2,400 consumers related to a settlement with 1Health.io, formerly known as Vitagene, over allegations the genetic testing company left sensitive genetic and health data unsecured, deceived consumers about their ability to get their data deleted, and unfairly changed its privacy policy retroactively.

The FTC’s June 2023 complaint alleged that 1Health.io’s security failures put consumers’ sensitive data at risk, contrary to the company’s promise to exceed industry-standard security practices. The complaint also alleged that the company promised consumers they could delete their personal information at any time when, in fact, the company's failure to maintain a data inventory meant that the company could not always honor that promise. The complaint further alleged that, in 2020, the company unfairly changed its privacy policy by expanding the types of third parties with whom it could share health and genetic data that consumers had already provided the company, without notifying consumers or obtaining their consent.

The FTC is sending payments totaling more than $49,500 to 2,432 consumers. Most consumers will get a check in the mail. Recipients should cash their checks within 90 days, as indicated on the check. Eligible consumers who did not have an address on file will receive a PayPal payment, which should be redeemed within 30 days.

Consumers who have questions about their payment should contact the refund administrator, Simpluris, at 1-888-427-9238 or visit the FTC website to view frequently asked questions about the refund process. The Commission never requires people to pay money or provide account information to get a refund.

The Commission’s interactive dashboards for refund data provide a state-by-state breakdown of refunds in FTC cases. In 2023, FTC actions led to $324 million in refunds to consumers across the country.

 

[NewTricks]

"The complaint also alleged that the company promised consumers they could delete their personal information at any time when, in fact, the company's failure to maintain a data inventory meant that the company could not always honor that promise."