Bogus COVID-19 Insurance Scam Uncovered

The Coalition Against Insurance Fraud (CAIF), and the U.S. Department of Health & Human Services (HHS), have asked consumers to continue to be on the lookout for scams related to COVID-19. 

In this newest installment of scammers being scammers, a report out of Maryland found an attempt to defraud the Maryland Insurance Commissioner with a text message offering COVID-19 insurance. The text offered to pay up to $30,000 if the purchaser of the bogus policy was to contract COVID-19. The cost of the policy was said to be $1,000.  

This story is a cautionary tale of the ongoing efforts to defraud consumers amidst a pandemic. 

HHS provides consumers with a list of COVID-19 scams to be on the lookout for.  

As exemplified in this story, HHS offers targeted recommendations to avoid falling victim to these scams.

  • Beneficiaries should be cautious of unsolicited requests for their personal, medical, and financial information. Medicare will not call beneficiaries to offer COVID-19-related products, services, or benefit reviews.
  • Do not respond to or open links in text messages about COVID-19 from unknown individuals.

If you suspect COVID-19 health care fraud, report it immediately online or call 800-HHS-TIPS (800-447-8477).

Christopher Dill
Christopher Dill
Christopher Dill is the Special Investigations Unit Director at ICW Group Insurance Company. A Fraud Claims Law Specialist designee, he was a recipient of the National Health Care Anti-Fraud Association’s Investigation of the Year Award for his significant contribution to the successful resolution of “Operation Back Lash” – one of the largest workers’ compensation health care bribery schemes ever uncovered in San Diego County. Christopher has participated in over 30 criminal cases surrounding medical and legal providers attempting to defraud the Workers’ Compensation system. Christopher’s approach to insurance fraud investigations is a holistic one. From preventative education campaigns, to data analytics, to time tested investigative, and intelligence gathering techniques, it is Christopher’s belief that a multi-faceted approach to insurance fraud is necessary to a successful defense.

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