Insurance scams are on the rise

posted by Michael Hanson

Healthcare-related insurance scams are on the rise, the Better Business Bureau is warning.

The passage of the healthcare reform bill has brought about a rash of scam artists looking to take advantage of people who are confused about the new legislations. Consumers should thoroughly research any insurance company before they sign up for health coverage, the BBB said.

BBB spokesperson Alison Southwick said that "navigating the healthcare system can be a tricky maze and coordinating your physicians, prescriptions, and insurance coverage isn't always easy. One of the first steps to finding healthcare services that are a good personal fit, is to start with a provider you can trust."

A number of companies have recently been accused of offering medical discount plans and selling fake health coverage, the BBB said. Thousands of Americans have become victims of these scams. Warnings have been issued in many states about this type of fraudulent activity.

The healthcare reform bill was passed in March after a passionate national debate. It's expected that it will be fully implemented by 2014.