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Posted: September 06, 2005

Warning for Seniors and Caregivers on Medicare Scams

Seniors with Medicare coverage and their family caregivers should take a very skeptical look at all unsolicited offers of help making decisions about the new Medicare prescription drug coverage.

Illinois Attorney General Lisa Madigan said her office already has received reports of people alleging they are "authorized" or "funded" by Medicare to contact Medicare beneficiaries by telephone or door-to-door to offer assistance with the new Medicare prescription drug coverage.

Consumers should be aware that any unsolicited personal contact may represent an attempt to scam a Medicare beneficiary out of money or sell a product that may not be suitable. Madigan said that because of these reports, it is important for people with Medicare to remember:

• Medicare beneficiaries should never give any caller or visitor their Social Security numbers, bank account numbers or personal financial information.

• No door-to-door solicitations are permitted unless the Medicare recipient has invited the caller to their home.

• Telemarketers must comply with federal and state Do Not Call laws.

• No payment for a Medicare prescription drug plan should be made before November 15, 2005. Prescription drug plans may begin marketing October 1, 2005, but enrollment does not begin until November 15, 2005.

When prescription drug plan enrollment begins November 15, 2005, people with Medicare should make sure they enroll with a Medicare-approved prescription drug plan. To verify if a plan is approved, consumers may call Medicare’s toll-free number at 1-800-633-4227.

From May through August, the Social Security Administration has been mailing application forms to people with Medicare who may qualify for extra help with drug plan costs.

Almost half of all Medicare beneficiaries will receive an application for extra help. The Social Security Administration may ask for general financial information on the extra help application form, but never specific bank account numbers.

On approximately October 15, 2005, the Centers for Medicare & Medicaid Services will send information to Medicare recipients describing the Medicare prescription drug plans that will be available to them. The initial enrollment period for Medicare prescription drug coverage will be from November 15, 2005, through May 15, 2006. This six-month period will give people with Medicare time to learn about their options and choose what is best for their particular circumstances.

It is important for people with Medicare to read carefully any mail they receive from the Social Security Administration or the Centers for Medicare & Medicaid Services during the implementation of the new Medicare prescription drug benefit.

(Article courtesy of ConsumerAffairs.com)

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