Medical Identity Theft: Don't Be a Victim
Many people are familiar with identity theft, in which con artists use another person’s personal information to commit fraud. Identity theft encompasses a range of crimes, from using a stolen credit card to make an illegal purchase to employing a pilfered Social Security number to establish a new identity.
One truly alarming twist on this trend is medical identity theft, a crime that can threaten your family’s well-being. The Virginia Society of CPAs offers an overview of medical identity theft and steps you can take to avoid becoming a victim.
Anatomy of a crime
Much like other identity thieves, medical ID scammers steal personal data, typically insurance information or Social Security numbers. The difference is that these scams involve health care. These thieves may use your identity to get medical care or medications. That’s not the only danger, though. In some cases, dishonest health care providers or a scammer may use stolen personal information to file a false claim and receive reimbursement from an insurance company. If you are the victim of medical ID theft, you likely will not be aware that your data has been stolen and that your medical records now show a history of illnesses or procedures that you have never actually had.
An added danger
Unlike conventional identity theft, medical identity theft can actually endanger your health. If a scammer has medical procedures performed using your identity, that person’s medical history is now added to your own. Medical identity theft victims who go into the hospital for needed procedures have found out that their records show incorrect information about previous medical conditions. As a result of such mix-ups, patients may receive the wrong blood type in a transfusion or be given a drug to which they’re allergic. There are financial consequences as well. Victims often face credit problems after scammers ring up unpaid bills in their name, which can damage their credit ratings.
Look for warning signs
Medical identity thieves carefully conceal their actions, but there are warning signs that can alert you to a possible problem. For example, you may get a communication from your insurer or a bill from a physician that refers to an unfamiliar medical visit or service. You may also receive notices demanding payments for medical bills in your name. If any of these occur, contact the insurance company or physician immediately to find out more information. The World Privacy Forum also recommends that you ask your insurer for a listing of benefits paid in your name and request a copy of your current medical files from all your insurers.
Keep a personal health record
It’s a good idea to keep a personal health record that details any illnesses you have had, medical services you’ve received and medications that you take. It will help you answer questions about your health and identify potential medical ID theft when something on your records doesn’t make sense.
Know your rights
You have rights under federal law that can assist you in correcting inaccurate medical records. They include:
- The right to request copies of your current medical files from each health care provider. Please be aware that there may be fees for copying and postage if you request copies of your medical records.
- The right to have your medical records amended to remove inaccurate or incomplete information.
- The right to an accounting of disclosures — a record of who has been given access to your medical records — from your health care providers and health insurers. This is very important in tracking down where inaccurate information may have been sent.
- The right to file a complaint with the Office of Civil Rights at the federal Department of Health and Human Services if a health care provider does not comply with these rights. In addition, many hospitals have ombudsmen or patient advocates who may be able to help you obtain medical records or provide access to information.
Do you have further concerns about potential fraud risks facing your family? Your local CPA can help. Consult him or her with any questions you have on these or other financial issues.
The Virginia Society of Certified Public Accountants (VSCPA) is the leading professional association dedicated to enhancing the success of CPAs. Founded in 1909, the VSCPA has approximately 8,300 members who work in public accounting, industry, government and education. For more information, please visit the Press Room on the VSCPA Web site at www.vscpa.com, e-mail vscpa@vscpa.com or call (800) 733-8272. For more information on financial literacy topics like money management, or to search for a CPA in your geographic region, visit www.FinancialFitness.org.
© 2008 American Institute of Certified Public Accountants
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