With AEP approaching, many scammers are turning their attention to Medicare beneficiaries. The best way to protect yourself from scams is to be aware of the tactics scammers are using. There are several current Medicare scams to watch out for.
Signs of a Scam
Before we consider the specifics of current scams, it’s useful to know what many Medicare scams have in common. Some key characteristics include:
- Calling unannounced. You’ll always receive an official letter from the Social Security Administration (SSA) if Medicare needs to contact you. This letter will ask to schedule a phone interview with you.
- Asking for personal information. Scammers request your personal information on the pretense of confirming your identity. The type of information they ask for varies according to the scam, but it may include your name, address, date of birth, Social Security number, or bank details. A scammer will likely have some of this information already.
- Asking for your Medicare number. In some cases, scammers may try to reassure you that they don’t want any of your personal number. Instead, they’ll ask for your Medicare number — however, this is also valuable. In fact, if someone else uses your number, you could lose your coverage.
- Requesting upfront payments. Scammers may push you to make a payment on the spot to secure whatever “great deal” they’re offering.
1. Canceling Coverage
Scammers know that the last thing Medicare beneficiaries want is to lose access to their benefits. For this reason, it’s a common scam to tell victims that they’re about to lose their coverage — unless they verify their identity or pay a fee to cover missed premiums.
In reality, Medicare will send you a letter if you’re at risk of losing your coverage.
2. Better Plans
During AEP, it’s particularly common to receive phone calls from scammers claiming they can offer you a better plan. This will often be Medicare Advantage or a drug plan for a lower price or with greater coverage. For instance, the plan may include a drug that you can’t usually receive. Dig further and you’ll discover this is because it isn’t approved under Medicare.
Never purchase a plan over the phone from someone who calls you or who leaves a message with a number for you to call back.
3. New Medicare Cards
You may be aware that Medicare released new cards back in 2018. This was because the old cards featured the Social Security number of the holder, which posed an identity theft risk.
Scammers are now targeting beneficiaries with claims that Medicare is once again releasing new cards. They often say the new cards contain a chip — but no such cards exist. To scare victims into falling for the scam, scammers warn them that their old cards will soon cease to work.
If ever need a new card, go to your online account. You can print one yourself or ask Medicare to send you one.
4. Medical Equipment
You may receive a phone call saying you’re eligible for expensive medical equipment, such as a knee brace or diabetes treatment supplies. If you provide your Medicare number, the scammer will make a charge for the equipment you are supposedly purchasing (and likely make additional unauthorized charges) and send you either a much cheaper item or nothing at all. The scammer may also ask you for your credit card details to pay for the shipping.
This scam may sound convincing because the medical equipment may be related to a condition you do have. However, this will be because the scammer as acquired this information somehow, such as through a data breach. If the offer were genuine, it would come with an official invoice that you would be able to confirm was authentic with your healthcare provider.
5. Care Rebates and Discounts
It’s true that Medicare does sometimes offer refunds and discounts for care — which is why this scam is especially easy to fall for. The scammer may offer you a rebate for care you’ve received recently or tell you that you’re eligible for a discount on care you need. To receive a refund, the scammer will say you need to share your bank details, which puts you at risk of identity theft. For a discount, the scammer will likely say you need to pay upfront to secure the care at a lower rate. Of course, you will never receive this care.
If Medicare or your insurance company owes you a refund because you’ve overpaid, you won’t need to provide any further information. If you’re eligible for a discount, your healthcare provider will inform you — you won’t receive a phone call from Medicare.
6. COVID-19 Tests, Vaccines, and Treatments
Since the start of COVID-19, scammers have been using fear about the virus to target Medicare beneficiaries. A common scam is asking you for your personal information in exchange for free COVID tests, access to the latest vaccine, or other treatment. After becoming less common for a while (thanks, in part, to a massive investigation that took down the original scammers), this scam has recently reemerged.
It’s important to note that you can now receive four free COVID tests per household by requesting them from COVIDTests.gov.
7. Genetic Testing Appointment
Scammers may claim you’re eligible for tests to find out if you’re at risk for serious conditions such as cancer or heart disease. Scammers will say that, since the test is only available for Medicare beneficiaries, they need your Medicare number. In this scam, you may receive a phone call offering you the test or you may receive a delivery containing an at-home test for you to take along with a form to write your Medicare number when you send the swabs back. Of course, you will never receive any results from the test.
It’s easy to identify these scams because Medicare rarely covers genetic testing of any kind.
How to Report Medicare Scam Phone Calls
The majority of Medicare scams are calls. You can help stop scammers and prevent other beneficiaries from falling victim to scams by reporting Medicare scam phone calls. There are a few ways to do this:
- Submit a report to the U.S. Department of Health and Human Services Office of Inspector General either online by using this link or by calling 800-447-8477 (TTY: 800-377-4950).
- Call Medicare at 800-633-4227 (TTY: 877-486-2048).
- Submit an online report to the Federal Trade Commission by using this link.
Provide as much information as possible to help identify the scammers. This includes the number that appeared on your caller ID, any number the caller gave you to call back, the details of when you received the call (date and time), and your phone number (the one to which you received the scam call).
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