Seniors: Beware Of Health Insurance And Drug Plan Scams
21 03 08 - 11:09
Copyright: The Orange County Register
Source: Orange County Register, The (CA) (KRT)
Have you been hustled and scammed by unscrupulous agents selling bogus contracts for everything from Medicare Advantage plans to prescription drug plans?
So where do you turn for help?
Kimberly Lankford, personal finance editor for Kiplinger magazine, says the rip-offs are common and the solutions easy to find _ if you know where to look.
"There are two levels of fraud to Medicare Advantage, for example," she says.
"It could be a situation where the agent didn''t tell you the whole story or that you get your plan switched without knowing."
Q: Let''s begin by defining Medicare Advantage plans.
A: They include health maintenance organizations (HMOs), preferred provider plans (PPOs), private fee-for-service plans, Medicare special needs plans and Medicare medical savings plans.
Q: What''s the scam?
A: One of the biggest is sales abuse. If you know exactly what you''re buying and what it covers, it can be a good deal for people. But there is high pressure from sales agents who get bigger commissions for signing up people for these plans.
People don''t realize all hospitals and doctors are not enrolled in these plans. You really need to be careful. Especially on co-payments. Some have low premiums but may have much higher co-payments than regular plans.
Q: Are these bad products?
A: No, it''s just the way they''re sold. The key is to look carefully at what is covered. There is no standardization so what you get from one provider could be different from the next.
Check with www.medicare.gov.
For example, they may cover dental and vision but offer much less than regular policies for services like chemotherapy. You really need to think about what your costs are.