Questions and Answers about Consumer Protection
By: Sara Duris
With March 4-10 being National Consumer Protection Week, and the numerous inquiries Area Agency on Aging’s Info Line for Aging & Disability gets regarding scams and financial exploitation, I thought I would focus on two potential areas of fraud impacting individuals we serve who are on Medicare and/or are veterans.
Medicare: Three major areas of concern with Medicare are identity theft, billing fraud, and fraudulent marketing activities.
- Individuals on Medicare need to guard their Medicare card and ID number as they would a credit card. Only give this information to people you know have need of it such as health care providers and insurers. Medicare is issuing everyone a new card over the next several months, with a new ID number that will no longer be linked to Social Security numbers. Medicare will not contact you to confirm personal information over the phone or via email — these are scams!
- Always keep your own records of medical visits and keep receipts of your expenses. As soon as possible, carefully review your Medicare claims for errors, charges for services not rendered, or unknown providers. Billing error can often be resolved by the provider, but when it cannot, or if the service listed or provider listed are suspicious, report this information immediately to Medicare by calling 800-MEDICARE (1-800-633-4227) or online through the Office of the Inspector General at www.Medicare.gov.
- Finally, protect yourself from Medicare enrollment fraud. Know that Medicare has rules about how Advantage Plans and Part D prescription drug plans can contact you and market their services, at all times, including during Medicare’s open enrollment period which runs from October 15 to December 7 every year. For instance, plans can send you mail, but unless you are currently enrolled in a company’s plan, they are not allowed to call, email, visit your home, or approach you in public to market their plan without your permission. Always be wary of anyone who would pressure you with time limits, say you could lose your Medicare if you don’t sign up, or ask you for your Medicare ID number just to provide information. Again, suspicious activities should be reported to Medicare.
Veterans’ Benefits: Veterans and their families can sometimes be the target of dishonest “advisors” claiming to offer help with paperwork for pension claims. Here are some important things to keep in mind —
- It is free to apply for Veterans’ benefits. The VA accredits three types of professionals to help people complete and file pension claims, these being: representatives of VA-recognized Veterans Service Organizations; independent claims agents; and private attorneys. Accreditation means these individuals have been trained in how to properly complete paperwork and file claims, and also means that they are not allowed to charge for this work. If you are completing applications on your own, don’t pay for any of the forms.
- Promotions or pitches generally involve transferring assets to a trust or investing in insurance products in order to qualify for Aid and Attendance Benefits (A&A.) If a person’s assets are above the limits to qualify, so-called financial advisors might try to convince you to “restructure” your finances. What isn’t talked about is how such actions usually mean that the veteran loses eligibility for Medicaid or loses the use of their money for a long time, unless a penalty is paid. The qualifications for A&A are specific and strict and these benefits are never granted automatically to veterans of a certain age or with a particular disability. No one can guarantee you that the VA will award a benefit, only the VA can do that.
- Be skeptical and avoid anyone who would use scare tactics or pressure by stating the veteran could lose benefits if action isn’t taken by a certain time limit. Check into the licenses or certifications of people claiming to be financial planners and know that just using “veterans” or “military families” in an organization’s name doesn’t always mean they are representing the best interest of veterans or their families.
- For assistance with questions, contact the VA Information line at 800-827-1000, or 800-MICH-VET (800-642-4838) or go online at www.va.govor www.michiganveterans.com