Obamacare Swindles

Beware of scams already underway to swindle consumers into buying fake health insurance and steal their identities.  The Federal Trade Commission (FTC) said that dozens of consumers have already reported fraud since healthcare reform was upheld by the Supreme Court last summer, and predicts more prevalent abuse once open enrollment begins this October.

Be on the look-out for:

• a caller promising to send a healthcare card if the person reveals personal and financial information. 
• false enrollment websites. Note: you can only enroll in a new health plan via your state's official website OR https://www.healthcare.gov/, which can direct you to purchase insurance for any state.
• companies using Obamacare to trick customers into purchasing fake insurance.

According to the L.A. Times, those who speak limited English and those who have never had health insurance before are especially at risk.  In California, where large numbers of people who are newly eligible for insurance are Spanish-speaking, the risk is compounded. 

An added potential for fraud comes from those hired by states to help consumers navigate their new healthcare options under the exchanges. For instance, California plans to hire 20,000 enrollment counselors to tell consumers about their enrollment options and potential tax penalties. While these counselors must go through training and background checks, "fraud is inevitable," said Covered California spokeswoman Dana Howard.

If you believe you have been the victim of identity theft, or want to know more about how to keep your personal information secure, visit the FTC's website on medical ID theft, or call them at 877.382.4357.