Fraud of the Week
August 15, 2016
Health Insurance Fraud—Arizona
Amount: Unknown
An ongoing investigation is occurring due to allegations of widespread fraud, theft, and waste being uncovered in the group homes in Prescott Arizona. Many types of fraud were discovered. Sober living homes were charging up to $2,000 for routine drug urine tests. Clients were in sober living homes for up to fifteen months with no end in sight or being shuffled from home to home for unnecessary treatment. Homes were also making claims for “equine treatment,” costing as much as $5,000 for spending time with horses. The fraudulent activity caused spikes in insurance claims up to 500 percent in 2015. The investigation has sparked changes in the payment method causing over 100 group homes in Prescott to close their doors. There are concerns that causing these changes will result in negligent patient care in the remaining group homes. Investigators state that the reason the fraud was so outrageous was due to a lack of regulation of the industry.
This premium content is locked for FC&S Coverage Interpretation Subscribers
Enjoy unlimited access to the trusted solution for successful interpretation and analyses of complex insurance policies.
- Quality content from industry experts with over 60 years insurance experience, combined
- Customizable alerts of changes in relevant policies and trends
- Search and navigate Q&As to find answers to your specific questions
- Filter by article, discussion, analysis and more to find the exact information you’re looking for
- Continually updated to bring you the latest reports, trending topics, and coverage analysis
Already have an account? Sign In Now
For enterprise-wide or corporate access, please contact our Sales Department at 1-800-543-0874 or email [email protected]