For Immediate Release: March 9, 2006
Contact: Joan Conway
Phone: (559) 445-5532
Arambula urges awareness of phone scams related to Medicare Part D
Sacramento – Assembly Member Juan Arambula (D-Fresno) today urged seniors and people with disabilities to be aware of a new scheme which asks Medicare beneficiaries for money and checking account information to help them enroll in a Medicare Prescription Drug Plan.
“As if the Medicare Part D Prescription Drug Plan were not confusing enough, now there are bad people taking advantage of that confusion and complexity with this scam,” Arambula said in issuing the alert. “Seniors, and all Californians, must never give out their personal identifying information, medical or financial, unless they know who they are talking to.”
The new Medicare scam is called the “$299 Ring” for the typical amount of money Medicare beneficiaries are talked into withdrawing from their checking accounts to pay for a non-existent prescription drug plan.
Medicare has received complaints from Indiana, Michigan, Pennsylvania, Massachusetts New Jersey and Georgia. Complaints have been made against a number of different companies, but authorities believe that the companies are the same and are typically based outside the U.S. As soon as the Centers for Medicare and Medicaid Services (CMS) receive these complaints, they are investigated and referred to federal law enforcement authorities.
Here are some tips to help protect yourself or someone you love from falling victim to a scam:
- Check the list of Medicare-approved prescription drug plans. The list of approved plans and other information is available at www.medicare.gov or by calling (800) 633-4227 (TTY users call 877-486-2048).
- Guard your personal information from identity thieves posing as salesmen. Legitimate plans may ask for your Social Security number, but only when you are actually enrolling. They may only ask for credit card or bank account information if you are arranging to have payments for your drug plan automatically withdrawn from that account.
- Beware of fear tactics. If someone tells you that you must join a drug plan or else you will lose your other Medicare benefits, you have probably encountered a scam.
- Know the law on how Medicare prescription drug plans can be marketed. It is illegal for companies or organizations marketing Medicare drug plans to come to your door uninvited or to send you unsolicited e-mails. Companies and organizations can call to promote their drug plans, but it's illegal for them to sign people up during those calls.
- Beware of plans that come with strings attached. Companies and organizations are allowed offer modest prizes or gifts (but not cash) to promote their Medicare prescription drug plans, but it is illegal to require anyone to join a drug plan in order to get a prize or gift.
- Do not be fooled by sales materials that look like they are from the government. Only private companies are authorized to offer the plans, not government agencies.
- Report suspected Medicare drug plan scams. Consumers can report these cases to their local law enforcement agencies or 1-877-7SAFERX (1-877-772-3379). “Law enforcement professionals do all they can to keep our children safe, but they can’t do it alone,” said Assemblymember Arambula in announcing the event. “It’s up to all of us — parents, children, friends, family, and neighbors — to be vigilant about protecting our loved ones, especially those who are the most vulnerable to harm.”
Assemblymember Arambula will be holding workshops to help seniors find a plan that is right for them. The workshops will be held April 24th at the Senior Citizens Village at 1917 S. Chestnut Ave. in Fresno. A future release will describe this event in greater detail. For more information, please contact the district office at (559) 445-5532.