Medical ID Theft: A Scary Threat

Stories and warnings about identity theft appear in the news quite often. But there has been less attention paid to a variation of this crime that can be not only financially disastrous but also life threatening. Medical ID theft often goes undetected, yet it can cause serious alterations not only to your credit and finances, but to your medical records as well.

In October 2006, the CBS Early Show featured Anndorie Sachs who, out of the blue, got an alarming call that her newborn baby had tested positivefor illegal drugs. But Sachs had not given birth in years. Further, authorities showed up the next day and threatened to take away her four kids because she was considered an unfit parent.

Sachs' nightmare began because someone had stolen her driver's license then given birth at a hospital, leaving her with a $10,000 bill.

Unfortunately, the bill is only part of the problem for victims such as Sachs. The victim's medical records get entwined with the thief's and can cause life-threatening errors that can be difficult to correct.

The January 8, 2007 issue of BusinessWeek reported the story of Lind Weaver, who was surprised to be billed for the amputation of her right foot. er feet were both intact but she had a great deal of trouble convincing the hospital that the bill was not hers. When she was hospitalized a year later, she was horrified to find that her medical information had been altered. A nurse looking at her chart mentioned Weaver's diabetes, a condition that she does not have.

The World Privacy Forum (www.worldprivacyforum.org), a non-profit public interest research group, has reported that victims of medical ID theft do not have the same recourse and help for recovery that is available to victims of financial identity theft. A major obstacle is that once erroneous information is created in a medical record, there is a good chance that it will be circulated to other databases. These medical information errors are repeatedly sent through information-sharing pathways thereby creating potential medical disasters. Finding and correcting this misinformation can be difficult for victims of this type of fraud. Healthcare providers can be reluctant to release records that are in any type of dispute. Under the Health Insurance Portability and Accountability Act (HIPAA), patients are entitled to a copy of the "account of disclosures" of their medical records. This information will help patients find and correct errors. (For more information about HIPAA, go to www.hhs.gov/ocr/hipaa/).

According to the World Privacy Forum, the transition from paper-based to electronic medical records may make this type of fraud easier commit while also making it more difficult to recover as the errors are spread through the system. This group estimates that more than 250,000 Americans have had their medical information stolen in recent years.

Recommendations to avoid becoming a victim of medical ID theft from Pennsylvania Attorney General, Tom Corbett:

• Avoid carrying your Social Security card or information containing your Social Security number.
• Never leave medical or prescription drug cards unattended in a purse, desk or locker. Think of your healthcare card as being as valuable as a credit card.
• Never give your out financial, health or insurance information to telemarketers, unsolicited salespeople or strangers.
• Always check the "explanation of benefits" notices sent from your health insurance company. Look for services that were never performed, incorrect dates of treatment or prescriptions or medical equipment that were never received.
• Ask your insurer, at least once a year, to provide a list of all benefits that have been paid in your name. A criminal may change the address or phone so you are unaware that a benefit has been paid in your name.
• Check your credit report periodically. Some victims learn of medical ID theft from collection notices that they never received. By Federal law, you are entitled to a free annual credit report. You can do this at www.annualcreditreport.com.

Take the following steps if you are victim of medical ID theft:

• File a police report and send a copy of the report to insurers and healthcare providers. This step can help in clearing up the errors in your medical records.
• Contact the Federal Trade Commission, which provides helpful resources 877-438-4338 or at www.consumer.gov/idtheft/.
• Request copies of your medical records from the doctor or hospital.

If the provider does not allow you to see your own medical records, file a complaint with the Office of Civil Rights at Health and Human Services, 1-800-368-1019 or at www.hhs.gov/orc/privacyhowtofile.htm.

For more information from the Pennsylvania Attorney General on this issue, go to www.attorneygeneral.gov/consumers.aspx?id=1645.

Created 01/08/07