Tuesday, October 29, 2013
Please share this Fraud Alert with colleagues, consumers, or other professionals in your area. If you have any questions about the Illinois SMP program, or to receive these Fraud Alerts directly, please contact Jason Echols, Healthcare Consumer Protection Coordinator at AgeOptions.
This project was supported in part by grant numbers 90MP0163 and 90SP0061 from the U.S. Administration on Aging, Department of Health and Human Services, Washington, D.C. 20201. Grantees undertaking projects under government sponsorship are encouraged to express freely their findings and conclusions. Points of view or opinions do not, therefore, necessarily represent official Administration on Aging policy.
Fraud In The News
The following are current news articles about health care and fraud issues.
Health Care Fruad:
- “Cahokia Woman Pleads Guilty To Health Care Fraud” (DOJ Press Release):
- “Paying for a Threat” (FTC):
- “Lottery Rip-offs: When Winning Means Losing” (AARP):
- “Con artists prey on victims of timeshare resale scams” (FTC):
Dear SMP readers,
This week’s Fraud Alert containswarnings about insurance marketing scams, a scam offering to pay rent in exchange for a bank account, and an indictment in a kickback case against a Chicago-area hospital.
Have a great week and a Happy Halloween!
What you will find in this week’s Fraud Alert
- Don’t Be Tricked this Halloween by Insurance Marketing Scams
- Give Us Your Bank Numbers, We’ll Pay Your Rent
- Indictments in Kickback Case Against a Chicago-Area Hospital
This Halloween, do not let insurance agents trick you into enrolling in a plan that may not be good for you. Instead, treat yourself by comparing plans on Medicare.gov or by talking to a benefits specialist at your local senior service agency (find your local Area Agency on Aging on and call to ask for help choosing a plan).
The annual Open Enrollment Period for Medicare (Oct 15-Dec 7) is a time Medicare beneficiaries have the option to enroll or change their Part D prescription or Medicare Advantage (MA) plans. Medicare has specific rules for how insurance agents can market their plans. One rule is that agents are not allowed to cold call you to sell a plan or enroll you in a plan without your permission. Read more about these rules and what to watch out for during Open Enrollment in the SMP Insurance Marketing Tip Sheet:
Give Us Your Bank Numbers, We’ll Pay Your Rent
A service coordinator at a senior building in southern Illinois reported that one of her residents received a call from someone claiming that the resident was eligible to have his rent paid. The caller claimed to have funds for the resident’s rent payment ready to send and just needed the man’s bank account information to make the deposit. The resident realized that this was a scam and hung up.
Hanging up is the best thing to do if you receive a call like this. Never give your personal information, like your bank information or Medicare number, to a stranger over the phone. Remember that if something sounds too good to be true, it probably is.
Indictments in Kickback Case Against a Chicago-Area Hospital
Last week, eight defendants were indicted in a kickback case involving the now closed Chicago-area Sacred Heart Hospital. The eight defendants include the owner and three executives of the hospital and four physicians affiliated with the hospital. In this alleged kickback scheme, Sacred Heart Hospital is charged with paying physicians bribes and kickbacks so the physicians would refer more patients on Medicare and Medicaid to the hospital, thereby increasing the hospitals revenue. The charges against these eight individuals collectively involve hundreds of thousands of dollars in alleged illegal kickbacks.
Last week’s indictment only pertains to activities in this alleged kickback scheme, and a broader investigation of the hospital continues. An indictment is not evidence of guilt, and the defendants are presumed innocent andare entitled to a fair trial.
Read more in this Department of Justice press release:
Jason B. Echols, MSW, Health Care Consumer Protection Coordinator
AgeOptions
1048 Lake Street, Suite 300
Oak Park, IL60301
phone (708)383-0258 fax (708)524-0870
ageoptions.org
AgeOptions, the Area Agency on Aging of Suburban Cook County, is committed to improving the quality of life and maintaining the dignity of older adults and those who care about them – through leadership and support, community partnerships, comprehensive services, accurate information and powerful advocacy.
Fraud Alertscontain information about current scams taking place in Illinois, announcements and updates about programs or services related to health care and/or fraud protection, and links to news articles about health care and fraud topics. Please forward any recommendations or announcements that you would like to be included in a future Fraud Alert to .