Tags: Obamacare | health | insurance | scam

CNBC: With Obamacare Comes Scams and Deceit

By    |   Thursday, 15 August 2013 11:54 AM

Consumer experts warn that Obamacare is a breeding ground for confusion and that makes a playground for scammers and the dealers of legal products that people mistake as health insurance.

The Affordable Care Act was passed three years ago. On Oct. 1, 2013 new healthcare plans will be offered through a government-run marketplace commonly referred to as a healthcare exchange. But major knowledge gaps still exist and there are many unscrupulous people anxious to take advantage of that.

According to a recent Kaiser Health Tracking Poll, roughly half of the public knows "nothing at all" about their state's decision to create an exchange, and 67 percent of uninsured Americans — a prime group the exchanges are designed to help — don't even understand how the new healthcare laws affect them.

Editor’s Note:
Obama Blunder Spawns Massive Profit Opportunity

No offers can be made for the new healthcare plans until Oct. 1, but Americans have been receiving calls, faxes and emails since last year from alleged representatives of Obamacare, Medicare or other government parties claiming to be associated with healthcare coverage, CNBC reported.

"We've heard about cases where the scam artists have threatened people with jail if they don't purchase fake insurance cards," John Breyault, who runs Fraud.org, told CNBC.

Fraudsters see huge opportunities to swindle money, but Americans are also at risk of these con artists trying to access their sensitive personal information, such as bank account and Social Security numbers.

Furthermore, Americans are likely to become targets of companies peddling legal products that seem a lot like health insurance but aren't.

After Massachusetts passed comprehensive healthcare reform in 2006, discount medical plans marketing themselves as cheap health insurance or viable alternatives to coverage skyrocketed, Time reported.

"The problem is people pay the money, buy a plan and when they get sick, they find out they don't have the financial security they thought they had," Lori Swanson, Minnesota's attorney general, told Time.

Consumer experts warn that scams and deceptive marketing will worsen as we approach fall and uninsured Americans start to shop for coverage.

"I believe the incidents are going to skyrocket as that date approaches," Eva Velasquez, CEO of the non-profit Identity Theft Resource Center, told CNBC.

"And even people who are smart and savvy could get taken, so we are very concerned about the potential for some serious financial harm," she added.

Breyault told CNBC that seniors face elevated risk of becoming victims to fraudulent and deceptive schemes.

"There are people licking their chops and saying, 'A sucker is born every minute,'" Elizabeth Abbott, director of administrative advocacy for the consumer group Health Access California, told Time.

Editor’s Note: Obama Blunder Spawns Massive Profit Opportunity


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Consumer experts warn that Obamacare is a breeding ground for confusion and that makes a playground for scammers and the dealers of legal products that people mistake as health insurance.
Obamacare,health,insurance,scam
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2013-54-15
Thursday, 15 August 2013 11:54 AM
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