When the percentage of individuals seeking health care coverage increases, so does the number of health insurance scams. These companies also threaten new retirees, the elderly, and small-business owners who are unable to get better offers from legal insurers. Before purchasing a health insurance package, exercise extreme caution. Continue reading to learn about three ways the health care provider might defraud you.
- Non-payment of demands
Fraudulent health insurance brokers usually easily sign up a large number of clients by giving them enticing offers. These fraudulent insurance firms continue to pay modest premiums and treatment bills, but once a large lawsuit is filed or authorities apprehend them, they disappear as if they never were.
So, if you’re having late bills or the service provider is making up reasons for not making payments, be cautious. If you have signed up for these fraudulent plans, you might be responsible for your workers’ medical expenses as well.
- Health-care plans that aren’t licensed
You could be in trouble if the provider from which you purchased your health insurance contract is not approved by the State Insurance Commissioner. The company could be a fraud if the financial institution is not protected by any insurance laws. Your service company is defrauding you by marketing non-licensed health plans in this situation.
Since they are governed by federal law, insurance brokers are not permitted to market any legal ERISA or union contract. So, if the insurance provider wants to deceive you by marketing you an “ERISA” or “unity” contract, file a complaint with the state insurance agency.
- Unexpected coverage at a reduced cost
If you are given an unusual policy because of your health status, and that too at a cheaper premium and with far more perks than most insurers, it is time to worry. Do not be misled by the attractive offer; otherwise, you can be duped. The aim of the “scammers” is to raise large sums of money as soon as possible, so they attempt to sell as many policies as possible at low prices.
Conclusion: As the majority of users buying health insurance rises, so does the majority of health care insurance scams. These companies also threaten new retirees, the elderly, and small-business owners who are unable to get better offers from legal insurers.
