Medical Identity Theft is when someone fraudulently uses your personal information, such as your name, Social Security number, and/or medical insurance identity number to obtain medical goods or services, or to fraudulently bill for medical goods or services under your name.
According to the FBI, healthcare fraud costs the industry from $74 billion to $247 billion a year in the U.S.
One reason for this is that unfortunately, the healthcare industry is lagging behind when it comes to sophisticated cyber security systems. This has led to medical breaches accounting for over 40% of all data breaches in recent years. As cyberattacks continue to strike the healthcare industry, an estimated one in three patients will have their health records compromised.
“Frankly, healthcare data is really valuable from a cyber criminal standpoint,” says Lynne Dunbrack, the research vice president for IDC’s Health Insights. “It could be 5, 10 or even 50 times more valuable than other forms of data.”
You may not even realize you’re a victim until you:
- Get a notice from a collection agency of overdue medical bills
- Receive an Explanation of Benefits that details medical services that you never received
- Are denied care because your account is delinquent
At that point, it could have life-threatening consequences for you or your family if gone unnoticed. Your medical treatment, history, and diagnoses can be hijacked—complicating and corrupting your care for, potentially, years to come.
The threat of Medical ID Theft is dangerous.
Ann Patterson, a senior vice president of the Medical Identity Fraud Alliance (MIFA), reports: “About twenty percent of victims have told us that they got the wrong diagnosis or treatment, or that their care was delayed because there was confusion about what was true in their records due to the identity theft.”
Your medical identity can be used to get healthcare services, government benefits (such as Medicare or Medicaid), or even surgery. And as lawmakers and physicians try to make it more difficult for criminals to get prescription drugs, criminals are getting more and more desperate to perform hacks and gain access to prescriptions to use or resell. But it’s more than just medical fraud incentivizing the hacks.
Just think about all the personal details you include on a new patient form, such as height and eye color, Social Security number and more. All of that information can be used to create fake identities. When you swipe a debit or credit card to cover a copay, that information is also file.
Here are some ways you can prevent Medical ID Theft from happening to you:
- Review your Explanation of Benefits (EOBs). Ensure the doctors listed and services provided are accurate. If you find an incorrect item, even if no money is owed, contact your insurance company immediately.
- Obtain your “benefits request” annually. Your insurance provider can provide a list of all benefits and services paid in your name, which you can review to confirm all the services listed were received.
- Protect your medical insurance card. Leave your insurance card in a safe place, and don’t carry it with you unless it’s necessary.
Some doctor’s offices and hospitals are trying to put policies in place to prevent medical fraud. This is why your doctor may ask you for your name and birth date several times during an office visit. But the reality is that no one can guarantee Medical ID Theft won’t happen to you.
At a time when cyber attacks are increasingly common and our personal information is stored in so many places, the best way to defend yourself is by having an Identity Theft protection plan in place. ReliaShield would like to provide that protection. Register with us today!
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