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Senior Information Line -- Medical Identity Theft: A Growing Problem -- December 2010

Click on the icon to the right to listen to the audio of this Senior Information Line feature.

Hello, and welcome to the New York Senior Information Line sponsored by the New York State Department of State Division of Consumer Protection, the State Office for the Aging and the Harry & Jeanette Weinberg Center for Elder Abuse Prevention at the Hebrew Home at Riverdale. Each month, we bring you news you can use to be a smart senior in your everyday life. And remember, the information you hear on this phone line - - and more - - is also available online at www.nysconsumer.gov.

Medical identity theft is a crime involving the theft of your insurance ID, Medicare or Social Security number and the use of this information to obtain treatment, equipment or drugs under your name. Larger cases may involve health insurance fraud and bogus payouts.

This crime can result in victims receiving improper treatment because their medical records contain inaccurate information. Victims of medical identity theft may find that their health insurance is exhausted. They are often billed for services they didn't receive. Victims may not learn of these bills until they receive debt collection notices, or see unpaid charges listed on their credit report. Medical identity theft can ruin a victim's credit and expose the victim to potential legal liability. In addition, medical identity theft often results in a decrease in privacy and the loss of time and added expense to clear one's record.

Evidence shows that medical identity theft is increasing. According to a recent study, approximately 5.8% of American adults - - or an estimated 1.42 million people - - have been victimized by medical identity theft. The average cost per victim is more than $20,000, which includes out-of-pocket payments to a health insurer to restore coverage.

Here are some tips to help reduce the threat of medical identity theft, detect when your medical identity has been stolen, and recover if you become a victim.

An Ounce of Prevention is Worth a Pound of Cure -- Don't Wait for Symptoms to appear!

Fighting Back - - What to do if you're a victim 

For more information about medical ID theft, contact information for the government agencies mentioned, and instructions on how to obtain your free credit report, call the New York State Department of State Division of Consumer Protection at 1-877-697-1220 or visit www.nysconsumer.gov.

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Last Modified: April 26, 2011