Starting in January 2006, Medicare will begin offering coverage for prescription drugs, and attempts to defraud the system have already begun.
According to the National Consumers League, “con artists” are taking advantage of the plan’s choice provision.
“Choice can be a very good thing, but crooks are always looking to take advantage of opportunities and might pretend to be from the government or legitimate companies to trick people into handing over their money or personal information,” said Susan Grant, National Consumers League Vice President and Director of the National Fraud Information Center. “But there are ways to determine if you’re looking at a real deal; to start with we always advise people to be extremely careful about giving out their Social Security and bank account numbers.”
The Centers for Medicare and Medicaid Services (CMS) is helping consumers fight back (see PDF copy of provider letter). Along with offering common sense advice for beneficiaries, CMS is working with Medicare Rx Integrity Contractors who will help find waste, fraud, and abuse in the new prescription drug program.
Consumers will need to be on alert for phony drug plans, but the best and most practical way to prevent fraud is in their hands: Don’t provide personal information until you’re sure the person or plan is Medicare-approved.