How to stay protected from health insurance scams
Economies of the world, still reeling under the effects of recession, are witnessing con artists trying to trick people out of their hard-earned money by offering them fake plans such as fake health insuranceplans .
Before you buy any health insurance plan, it is highly imperative for you to ascertain authenticity of the plan. This is because a fake medical plan can exacerbate your financial problems.
From Foxbusiness.com:
Tips for avoiding health insurance scams
These scofflaws can be skillful and convincing; they try to reel you in by pretending to work for big, trusted insurance companies. Here’s how to protect yourself.
* Check the Coalition Against Insurance Fraud’s watchlist of health plans to avoid. Even if a company is not on the list, be wary.
* Get the Web site and phone number for any company you’re thinking of doing business with. Investigate the company.
* Get the list of providers who participate in a company’s plan and call them to ask if they’re really part of this plan; ask which of services are eligible for the discounts or coverage. Avoid any company that won’t give you a provider list.
* Read the entire policy, including the fine print, along with a trusted friend or family member. (You should be able to get your enrollment fee refunded if you cancel within 30 days.) Avoid any company that won’t give you a copy of the policy they’re selling.
* Do not respond to plans offered through faxes from strangers, e-mails, telemarketers or door-to-door salespeople.
* Call your state’s insurance department to check the license of every company and insurance agent you deal with. Investigate them also through your state’s consumer protection office and attorney general’s office.
* Get salespeople to explain all costs, including enrollment fees, monthly charges, deductibles, coverage maximums and any other expenses. Calculate exactly how a plan would affect your out-of-pocket costs so you don’t end up spending more than you save.
* Don’t buy anything you don’t understand. Avoid aggressive sales people or those who make you feel dumb.
* Beware of “guaranteed coverage,” or promises of a specified percentage of savings (”30% off!”) and of pressure to close a deal fast because “time is running out!”
* Be suspicious of large upfront costs. Compare costs among several health insurance plans. Genuine health insurance, unfortunately, is expensive, says Quiggle. If you’re offered something that sounds too good to be true, it probably is.
Remember, it is better to buy a genuine health insurance at a slightly higher price than opting for a fake, cheap insurance plan.
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Tags: health, health insurance, health insurance plan, health insurance plans, health insurance scams, recession