Saturday, September 12, 2009

Insurer Accused of Cheating Old Timers

Unified Life Insurance cheated thousands of nursing home residents by charging them $720 a year for dental coverage they almost surely won't need, and for which they can receive only $2,000 in benefits, according to a federal class action.

Unified Life Insurance Co. and third-party administrator Sterling Health Services are accused of scheming to "illegally bilk thousands of aged Oklahoma nursing home residents receiving Medicaid assistance out of their personal funds, under the guise of providing them dental insurance,"

The class claims that most nursing home residents do not need extensive dental care because most have "few or no teeth, and quite often utilize dentures."

Named plaintiff Carla Childs says the defendants charged her late mother $720 a year for a mere $2,000 in coverage, including denture-related coverage that Oklahoma nursing home residents get free through Medicaid.

Childs says the plan is illegal because premiums are collected from the residents' personal funds, not from the nursing facility's "daily rate for routine services."

Childs says Oklahoma Medicaid regulations prohibit charging residents' personal accounts for "routine services," including "dentures and related services," and require nursing facilities to pay for such services, or for insurance for such services, out of the "daily rate for routine services."
Federal Medicaid regulations prohibit use of a long-term-care resident's personal funds for any item or service that Medicaid or Medicare pays for, according to the complaint.

Full Article and Source:
Insurer Accused of Cheating Old Timers

8 comments:

  1. When does this end? Why hasn't our government - of the people, by the people, for the people - done more?

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  2. No doubt this goes on all the time and I'm glad to see it exposed in the media.

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  3. United Life Insurance involved in schemes for profit? How shocking! Now what? What are the consequences? I am surprised that this was exposed.

    If the prosecutors need some suggestions on punishments, I will be more than happy to provide them with my thoughts.

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  4. 1) throw 'em all in a cage and let these greedy crooks hiding figure out how to survive without any provisions

    2) return to the cage in 30 days to observe the mountain of scum

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  5. Want to take bets on the "punishment"?

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  6. Here we go -- here's one of the big reasons healthcare is soaring.

    It's the current fraud and waste as shown in this article.

    United Life Insurance Co. and Sterline Health Services must be held accountable.

    A stiff fine - classification as a felon - and jail for the CEO's should do it.

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  7. 'Anonymous' asks "why hasn't our gov't of the people, by the people, for the people done more?

    Because our government is about
    EXPLOITING the people for government and the gov't allows the perps who do the exploiting for it to PROFIT

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  8. Double billing --- well, I'm not surprised. I am surprised they didn't get away with it!

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