The growing number of consumers taking up health insurance plans has led to the mushrooming of scam health insurance providers. These providers often target new retirees and the elderly individuals and small-business owners, who can’t negotiate better rates with legitimate insurers. Be very cautious before you invest in any health policy. Read on to get an idea about 3 ways in which your health insurance company can scam you. Its always better to consult with a Coquitlam Personal Trainer, before you wish to settle on any health insurance plans.
- Failure to pay claims
Usually fraud health insurance agents sign up a huge amount of people quickly by offering them lucrative deals. These insurance providers keep paying small premium amounts and medical claims, but if you have a substantial claim amount or regulators catch them, these illegal companies vanish as if they never existed.
So, just beware if you’re getting delayed payments or your service provider is offering fake excuses for the failure to help make the payments. When you yourself have signed up for these illegal plans, perhaps you are liable for the medical bills of your employees as well.
- Non-licensed health plans
If the company from which you have bought your health care policy is not licensed by State Insurance Commissioner, you can be in trouble. If all the protections of insurance regulation do not apply on your service provider, then the company may be phony. In this case your service provider is scamming you by selling non-licensed health plans.
Insurance agents are not allowed to sell any legitimate ERISA or union plan as federal law governs them. So, if your insurance agent tries to dupe you by selling an “ERISA” or “union” plan, report them to your state insurance department.
- Unusual coverage offered at lower rates
If you are offered an unusual coverage irrespective of your health condition and that too at lower rate and much more benefits when compared with other insurers, its time for you too hit the panic button. Do not get fooled by the lucrative offer, else you can be taken for a ride.