GoodRx facing $1.5M fine over improper sharing of health data

GoodRx Holdings agreed to pay $1.5 million as part of a settlement reached with the Federal Trade Commission (FTC) addressing allegations the telemedicine and prescription drug discount provider shared personal health data with third parties for advertising purposes.

GoodRx must overhaul its user consent and data retention practices as conditions of the agreement announced Wednesday by the FTC. The agency’s proposed order, which it hailed as being the first of its kind, was filed by the Department of Justice and must be approved by a federal court before taking effect.

GoodRx was faulted for misrepresenting its compliance with the Health Insurance Portability and Accountability Act (HIPAA) in addition to allegedly monetizing personal health data by sharing the information with advertising platforms including Facebook and Google.