The PP&AC Act brings with it many new laws, some of which have already taken effect, while others will do so in the future. Many Americans are still oblivious to what all these new laws mean and the changes that will come as a result. Those Americans that are the most confused and concerned are senior citizens because the PP&AC will greatly affect health care issues very important to them, such as Medicare. This confusion and concern leaves seniors vulnerable to many types of scams by devious individuals who are looking at taking advantage of the situation.
A cable television advertisement informed viewers to call an 800 number to learn how they could get special coverage that is now mandated by the passage of the health care reform law. The advertisement that appeared shortly after President Obama signed the PP&AC Act into law, stated the audience could only get the “special” coverage for a limited time. And according to many other news sources, there are many scam artists going door-to-door selling “Obamacare” insurance policies.
Scam artists looking to take advantage of vulnerable citizens see great opportunity for their trade these days, as the combination of the worst economy in decades along with great fear and confusion about a big change in our nation’s law fosters an environment that makes what they do so easy. Senior insurance agents are the first and last line of defense for senior citizens against such attacks, so we encourage agents to keep informed of such scams and tricks and educate their clients to not accept any offers regarding their health care without consulting a trusted professional. Agents should look out for the following areas of the PP&AC Act that have a high likelihood of being exploited:
Better access to nursing home records – scammers may offer bogus data services whereby they try to get seniors and their families to pay a lump sum or for a subscription for data on nursing homes that is either falsified or that is freely available elsewhere.
The creation of Plan B – federal and state governments have 90 days to create this program, but scammers may likely start selling policies for this Plan B though it won’t exist for quite awhile.
The $250 prescription drug rebate for Part D – scammers may offer expedited payment for a price.
Of course there are numerous areas of the bill that will be exploited so prepare to see all manner of exploits. To verify any offer received by your clients, one of the best ways to do so is to call your state insurance department and see if the entity offering the deal to your client is licensed to do business in your state. If you come across any scams, we encourage you to let the department of insurance know and spread the word as much as possible. Stay vigilant my friends.
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