3 Possible Ways Your Medical Insurer Could Be Defrauding
You
By: Don Saunders
The increasing number of consumers taking up
health insurance policies has led to a mushrooming of scam
health insurance providers. These health insurance providers
often target new retirees and seniors who can't negotiate better
rates with legitimate insurers. Read on to learn about 3 ways in
which your health insurer could try to scam you.
1. Not paying claims
Usually fraudulent health insurance agents try
to sign up a huge number of people quickly by making them very
lucrative offers. These insurance providers themselves pay small
premium amounts and settle small medical claims however, if
there is a large claim arises or if the regulators catch up with
them, these companies will simply vanish as if they never
existed.
So, just beware if you you encounter delays in
receiving payments or if your service provider is offering lame
excuses for their failure to make the payments. If you have one
of these illicit plans you could also find that you are liable
for the medical bills of your employees as well if you have
taken out a plan as a small business employer.
2. Offering health plans that are not
licensed
If your insurance company is not licensed by
State Insurance Commissioner then you can find yourself in
difficulty. In these circumstances your service provider is
almost certainly conning you by selling non-licensed health
plans.
You also need to know that agents are not
allowed to provide ERISA or union plans, both of which are
regulated by federal law. If therefore your agent tries to offer
you an ERISA or union plan you need to report this to your state
insurance department.
3. Unusual coverage being offered at lower
rates
If you are offered a high level of coverage
irrespective of your health condition and at a lower rate than
you would expect from other insurers then this should start the
alarm bells ringing. Do not be taken in by a seemingly very
attractive offer as you are very likely to find yourself being
taken for a ride. The scammers aim to collect very large amounts
of money as early as possible and so they attempt to sell as
many policies as they can as quickly as they can before they
disappear.
Naturally these are just some of the many tricks
that the fraudsters use but in most cases the presence of one or
more of these ploys ought to cause you to stop and look closely
at exactly what you are getting.
About the Author
Buying
medical insurance from legitimate insurers does not
have to cost you an arm and a leg so get some free, no
obligation affordable
health insurance quotes today from one of
the county's most competitive insurance providers.
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