Exclusive: Senator urges Biden administration to thwart fraudulent Obamacare enrollments

May 21 2024KFF Health News

Noting that tens of thousands of Americans have been victimized, Wyden called on regulators to step up enforcement and be more proactive in notifying potentially affected consumers. He vowed to introduce legislation that would make participating in such schemes subject to criminal penalties.Complaints about such unauthorized enrollment schemes have grown in recent months.

The agency will respond directly to Wyden, said Jeff Wu, acting director of CMS' Center for Consumer Information & Insurance Oversight, in a written statement. He further noted that the agency is "consistently evaluating opportunities to identify and resolve issues sooner, including through outreach, technical assistance, and compliance actions."

After initially declining to quantify the problem, CMS this month issued a statement saying it had received more than 90,000 complaints in the first quarter of 2024 about unauthorized enrollments and plan switches. While the number of complaints represents a small percentage of the more than 16 million enrollments processed through healthcare.gov for this year's coverage, it may understate the breadth of the problem, as complaints likely don't reflect the magnitude of cases.

It can be difficult for victims to recognize the changes. Rogue agents don't obtain their consent, and many are signed up for plans that have no monthly premiums, so they don't get a bill. Other consumers unknowingly enroll when they respond to misleading marketing promising gift cards, "government subsidies," or other financial help.

Source: News Formal (newsformal.com)

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