How Insurance Works

4 Easy Tips for Avoiding Health Insurance Scams

Signing up for health
coverage can be daunting, and fraudsters are counting on your confusion. Here are four ways scammers
might pressure you into signing up for a fake plan so they can steal
your personal information. You get a high-pressure sales
pitch that pushes low-cost plans or offers special rates if you sign up now. The caller claims a plan is
licensed under the federal Employee Retirement Income Security Act, or ERISA. Insurance companies are licensed by the states, not by any federal body. The plan requires you to join an association or union to get covered. These may be fake
organizations to make you think you’re buying group health insurance. Someone contacting you about health coverage claims to be
from the government. No government rep will
ever try to sell you insurance. And make sure to tune in to RFD-TV the third Thursday of each
month for “Rural America Live” with AARP.

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