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Surge in Medical Identity Theft Cripples Credit Ratings

Fraud spreading with use of electronic medical records

By Rob Quinn,  Newser Staff

Posted Jun 13, 2009 6:34 AM CDT
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(Newser) – Watchdog groups warn that medical identity theft is on the rise with the growing use of electronic records that lack proper safeguards, the New York Times reports. Fraudsters use stolen insurance information or Social Security numbers to get free medical care and the victims are often unaware they have been scammed until years later when the unpaid bills show up on credit reports.

Other victims only learn their identities have been stolen when incorrect information appears in their medical files, a potential hazard in the event of an emergency. Health providers say they’re stepping up measures to stop identity theft, but many believe those moves don’t go far enough, especially in light of the administration's plans to spend $20 billion to increase the use of electronic medical records.

Around 250,000 Americans had their identities stolen and used to obtain medical care in 2007.
Around 250,000 Americans had their identities stolen and used to obtain medical care in 2007.   (Shutterstock)
Privacy advocates fear that the ongoing conversion of medical records to electronic files nationwide will increase identity theft.
Privacy advocates fear that the ongoing conversion of medical records to electronic files nationwide will increase identity theft.   (AP Photo/John Raoux)
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There was even a $19,000 bill for a Life Flight air ambulance service in some remote location I’d never heard of. I’m still cleaning up the mess.
- Brandon Sharp, whose identity was stolen and used to obtain medical care

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COMMENTS
Showing 2 of 2 comments
jaguarj
Jun 14, 2009 5:05 AM CDT
The last visit to my clinic I was aked for my Drivers License photo ID. They made a copy and put it in my chart. When I questioned why was this the new procedure..I was told they had a young woman 20ish trying to pass herself off as a much older woman and it was caught due to the age listed in the records. So yes, there is fraud, even in the medical clinics.
brawne
Jun 13, 2009 11:19 AM CDT
Yes! Why is this such a difficult concept for so many people? As a self-employed adult, I've never had an option except the long term out the wahzoo insurance company that I pay before everything else. They hate me and would like nothing better than to rid me off their rolls. My family and its doctors tell me they aren't making the money, except for that orthopaedic surgeon, and he's worth every penny, my friend the hospital guy says they aren't making the money. So who does that leave? That insurance company that I pay in case I get hit by a bus. It's like buying a lottery ticket without the hope of a positive outcome. And, unlike lotto, they seldom pay out. Please, please don't cancel me--I take it all back.

Tips on avoiding medical ID theft
New York Times

 
fraud • health insurance • identity theft • medical records

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