Restoring Trust in Addiction Treatment Ethics: 7 Lessons from the Wall Street Journal Investigation

Some addiction treatment programs are quietly damaging the reputation of an entire field. The Wall Street Journal’s recent investigation uncovered troubling practices that are putting vulnerable patients at risk and leaving ethical facilities to clean up the mess. If your program operates with integrity, this affects you too. Here is what is hurting facilities like yours, and what must change quickly to protect the future of addiction treatment ethics…

According to the report, many patients were enrolled in high-reimbursement private insurance or subsidized ACA plans, sometimes with the help of so-called “body brokers” who steered them toward facilities that could bill insurers at the highest rates. Once admitted, the level of care often fell far short of what had been promised. In some facilities, patients were crowded into bunk-style housing, received minimal clinical oversight, and participated in group therapy sessions conducted over video calls.

Billing practices, on the other hand, were anything but minimal. In one case, an insurance provider was charged more than $500,000 in just five months for services that patients said they never meaningfully received. When coverage limits were reached or benefits expired, individuals were often discharged abruptly and left to fend for themselves. One patient reported being told, “If you don’t want to live on a park bench, I suggest you get a tent.”

Much of this activity was concentrated in states such as California, where the high number of treatment centers and inconsistent enforcement of regulations have allowed questionable operators to thrive. The report highlights how some facilities have built business models around maximizing insurance billing rather than providing genuine, continuous care.

This kind of misconduct not only endangers patients but also erodes public trust in an entire field dedicated to saving lives. When unethical practices dominate headlines, addiction treatment risks being seen as a scam rather than a lifeline. The investigation serves as a stark reminder that treatment must always prioritize compassion, clinical integrity, and long-term recovery rather than revenue.

While this article exposes serious issues, it unfairly paints the entire treatment community with the same brush. Such generalizations undermine public confidence and discourage individuals from seeking life-saving care from ethical providers. In the midst of a nationwide addiction crisis, that outcome is deeply troubling.

Every day, individuals and families find stability, healing, and hope because a qualified professional stepped in at the right time. Like any young and fast-growing field, this industry still has work to do. The recent Wall Street Journal investigation revealed serious gaps in oversight, transparency, and ethics among certain treatment programs. These examples are deeply concerning and must be addressed directly. Still, they represent only a fraction of the field, not the whole story.

Across the country, the majority of treatment providers operate with integrity. They are licensed, accredited, and committed to science-based methods of care. Their clinicians follow evidence-based protocols, their marketing is honest, and their goal is simple: to help people recover safely. Portraying addiction treatment as fundamentally corrupt does a disservice to these professionals and, more importantly, discourages people from seeking help. That misunderstanding can cost lives.

Our mission is to support leading addiction treatment providers by maintaining staff compliance, advancing professional development, and equipping teams with the knowledge and skills needed to meet current standards and prepare for future industry demands.

Providers should be licensed for all services in all locations, accredited, guided by a strict Code of Ethics subject to complaint review, and operate according to best-practice guidelines from marketing through treatment to continuing care.

What Treatment Facilities Must Do Better for Addiction Treatment Ethics

Marketing transparency

Facilities must clearly describe what they offer, including levels of care, expected length of stay, and aftercare options. They should avoid false “luxury” claims and ensure recruitment is ethical, without kickbacks or baiting.

Initial assessment and individualized care

Every patient should receive a comprehensive clinical assessment, and their treatment plan should be tailored to their specific substance use issues and co-occurring disorders.

Licensed, trained staff and oversight

Qualified clinicians, not video calls alone, should deliver therapeutic services. The treatment environment should meet professional standards for safety, structure, and sobriety.

Continuity of care and discharge planning

Providers must have a clear plan for transitioning patients after treatment, including sober-living support, outpatient follow-up, connection to community resources, and relapse prevention. Abandoning someone at discharge is the opposite of good care.

Ethical billing and insurance use

Providers should bill only for actual services delivered, not for the sake of maximizing reimbursement. Out-of-state recruitment should be clinically justified, not financially motivated.

Measuring outcomes and transparency

Facilities should regularly track patient outcomes such as sobriety, relapse rates, housing stability, and quality of life, and share this information with patients, families, and payers to build trust and accountability.

Regulatory compliance and internal auditing

Programs must stay current with all state and federal regulations, conduct self-audits on referral practices and licensure, and ensure that every aspect of their operations meets ethical and legal expectations.

Addiction treatment is not defined by its worst actors but by the thousands of committed professionals providing compassionate, science-based care every day. Ethical marketing and ethical treatment go hand in hand. When marketing misleads or treatment cuts corners, the individual suffers and the field suffers too.

The Wall Street Journal article raises important concerns, but the story of addiction treatment does not end there. We must highlight the progress, professionalism, and life-saving work of the many providers who are doing it right.