The rising number of people signing up for health insurance plans has led to an increase in the number of scam medical insurance providers. These medical insurance providers often target new retirees and seniors who can’t arrange better rates with legitimate health insurers. Read on to find out about 3 ways in which your health insurance company can scam you.
1. Not meeting claims
Usually scam medical insurance agents will try to sign up a very large number of individuals quickly by making them very lucrative offers. These insurers themselves pay small premium amounts and meet small medical claims however, if there is a large claim arises or if the regulators catch up with them, these companies simply vanish as if they had never existed.
Be suspicious therefore if you are getting delayed payments or your insurer is offering lame excuses for their failure to pay out. If you have one of these illicit plans you could also be liable for medical bills for your employees as well if you have taken a plan as a small business employer.
2. Selling health plans that are not licensed
If the company from which you have purchased your medical policy has not been licensed by State Insurance Commissioner then you can be in trouble. In these circumstances your insurer is almost certainly conning you by selling non-licensed medical plans.
You should also be aware that that agents are not permitted to provide union or ERISA plans, both of which are regulated by federal law. If therefore your agent tries to sell you an ERISA or union plan you should report this to your state insurance department.
3. Selling unusual cover at low rates
If you are offered unusual coverage regardless of your health condition and at a lower rate than you would expect from other insurance agents then it is time for you too hit the panic button. Do not get taken in by a seemingly very attractive offer as you are more than likely to be taken for a ride. The scammer’s aim is to collect very large amounts of money as quickly as possible and so they attempt to sell as many plans as they can as quickly as they can before they disappear into the night.
Of course these are only a few examples of the numerous tricks that the fraudsters use but in almost all cases the existence of one or more of these ploys ought to make you stop and look closely at just what you are purchasing.
Arranging medical insurance from legitimate insurance companies does not have to cost you a fortune so get some free, no obligation low cost health insurance quotes today from one of this county’s top insurance providers.
