The Biden administration on Monday launched a new initiative, “Time is Money,” aimed at cracking down on “corporate tactics” that cause unnecessary pain in Americans’ lives.
Federal agencies have announced new measures to cut excessive paperwork, shorten wait times and make it easier to join or cancel memberships.
“These hassles don’t happen by chance: companies often intentionally design their business processes to be time-consuming and burdensome for consumers to discourage them from getting the rebates or refunds they deserve, or canceling subscriptions or memberships they no longer want — all with the goal of maximizing profits,” the administration said in a press release on Monday.
The Federal Trade Commission (FTC) is currently considering public comment on proposed rules that would require companies to make it as easy to cancel subscriptions and services as to sign up, and the Federal Communications Commission (FCC) on Monday began investigating whether to extend these requirements to telecommunications companies.
Other measures target customer service deficiencies, including cracking down on infinite “doom loops” where customers call for support but can’t speak to a real person.
The Consumer Financial Protection Bureau is beginning a rulemaking process to require companies it regulates to let consumers press a button to speak to a real person, and the Biden administration said the FCC will launch a study to explore imposing similar requirements on phone, broadband and cable companies.
“Too often, customers seeking help from a real person are sent through a maze of menu options and automated recordings, wasting their time and not getting the help they need. In a recent survey, respondents said that being forced to listen to long messages before speaking with a live person was their top customer service frustration,” the press release read.
Health and Human Services Secretary Xavier Becerra and Acting Labor Secretary Julie Su have urged health insurers to consider implementing similar requirements.
In a letter to health insurers and providers on Monday, Becerra and Sue urged them to take “concrete actions to save people time and money on their health care.”
The Office of Personnel Management also plans to require the Federal Employees Health Plan and the Postal Service Health Plan to make it easier to submit out-of-network claims online.
The announcement builds on steps the Administration has taken so far to remove some of the hassle Americans experience every day. The Administration has targeted hidden “junk fees” and the Department of Transportation has instituted new automatic cash refund rules for airlines, requiring them to refund customers when flights are canceled or significantly changed.
