Scam/News
Medicare Beneficiaries Urged to be on the Look-out for Phone ScamsMarch 7th, 2006
The Centers for Medicare & Medicaid Services (CMS) warns seniors and people with disabilities to be aware of a scheme that asks Medicare beneficiaries for money and checking account information to help them enroll in a Medicare Prescription Drug Plan.
The scheme 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. Consumers can report these cases to their local law enforcement agencies or make a complaint on this website.
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 generally based outside the U.S.
Remember, No Medicare drug plan can ask a person for bank account or other personal information over the telephone. No beneficiary should provide their personal information to a caller. In addition, legitimate Medicare drug plans will not ask for payment over the telephone or the Internet. They must bill the beneficiary for the monthly premium.