Health Plan Scams: How to Spot and Avoid Fraudulent Schemes

ARTICLE | July 10, 2024

Authored by Vasquez + Company


With healthcare costs soaring, many Americans struggle to afford insurance, making them vulnerable to health plan scams. These scams promise affordable coverage but deliver little to no benefits, leaving victims with both financial loss and uncovered medical bills. Scammers exploit technology and confusion over healthcare reforms to lure victims with aggressive sales tactics and misleading claims of compliance. Recognizing red flags and verifying insurance legitimacy are crucial steps in protecting oneself from these fraudulent schemes.

Key Points

  • Scam Tactics: Scammers use aggressive sales pitches and misleading claims to sell fake health plans.
  • Warning Signs: Low premiums, vague websites, and requests for financial information are common red flags.
  • Impact: Victims face financial losses and uncovered medical expenses, jeopardizing their financial stability and health.
  • Protection: Vigilance, thorough research, and consulting trusted agents can help avoid falling victim to health plan scams.

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