A woman is sitting in her kitchen. She appears frustrated. She is holding papers in her left hand and is looking down at them, her right hand is on her forehead. She is wearing a very light pink long sleeve shirt. To her left, is an opened silver laptop. This image represents the blog, "FBI Issues Alert on Discount Medical Insurance Scams."

FBI Issues Alert on Discount Medical Insurance Scams

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The FBI dropped a serious Public Service Announcement (PSA) recently that anyone who has or needs insurance should be on the lookout for. What are they warning about? Scammers are selling “discount” medical insurance that covers practically nothing—and leaves you with large medical bills you thought would be covered under your insurance plan. 

How it works

These fraudsters typically cold call, text, or email you, pitching too-good-to-be-true medical plans at sharply cut prices. Some claim it’s urgent to make a decision right away, as these are “time limited” offers to pressure you into signing immediately. There are several examples, including one in Washington. A company got slapped with over 100 consumer complaints for bogus coverage and sneaky bank withdrawals. Some in Pennsylvania and Maryland ended up with ER bills they never expected, one was hit with a $7,000 emergency surgery charge on a plan that “should” have covered it.

Three Smart Moves to Protect Yourself:

  • Check with your doctors to see if they accept the plan. 
  • No policy paperwork? That’s a red flag. If you’ve signed up for insurance, you’ll know. There is always paperwork and usually a lot of it.
  • Walk away from high-pressure deals or upfront payments. If they push you to sign “today,” just like most others, it’s likely a scam.

What to Do If You’ve Been Duped:

  • Notify your state insurance commissioner and local consumer protection agency.
  • Finally, spread the word: warn neighbors, family, and local senior groups so others don’t fall for it.

Don’t let a “50% off” pitch cost you thousands—or your peace of mind.

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