The DC Department of Insurance, Securities and Banking (DISB) advises residents to stay vigilant against health insurance scams. It is estimated that healthcare fraud accounts for approximately 10% of the national healthcare expenditure.
How are health insurance scams perpetrated?
Health insurance scams often target individuals through email, text messages, phone calls and other forms of communication. Scammers pressure victims to sign up for plans quickly with promises of special, limited-time offers and free services that later come with hidden fees. These plans usually offer no real medical coverage, leaving victims responsible for the full costs of medical services. Some victims also report unauthorized charges to their bank accounts.
How can you spot health insurance scams?
- Government Impersonation: Scammers claim to be from the government and ask for money or personal information. Remember, the government will never ask you to verify your Social Security number, bank account or credit card number, nor will they ask for payments via wire transfer, gift card or cryptocurrency.
- Medicare Card Fees: Scammers may say you need to pay a fee for a new Medicare card or risk losing your coverage. Medicare will never charge for a new card or call you out of the blue for personal or private information.
- Fake Medical Discount Plans: Scammers offer fake medical discount plans with monthly fees for discounts on specific services or products.
- Sensitive Information for Quotes: Scammers ask for sensitive personal information in exchange for a price quote.
- Marketplace Assistance Fees: Scammers charge for help with the health insurance marketplace. Always go to Healthcare.gov for free assistance and information.
Report Suspected Fraud!
If you believe you have been the victim of a health insurance scam or other financial fraud, contact the DISB Enforcement and Consumer Protection Division at (202) 727-8000. You can also file a report with the following agencies:
- FBI Internet Crime Complaint Center (IC3.gov) or call the FBI Washington Field Office at (202) 278-2000.
- Federal Trade Commission (FTC) – ReportFraud.FTC.gov.