Blue Cross Blue Shield of Wyoming Alerts Public to Treatment Center Fraud Targeting Vulnerable Populations
Blue Cross Blue Shield of Wyoming (BCBSWY) is warning residents about an emerging fraud scheme involving out-of-state mental health and substance abuse treatment centers that appear to be targeting vulnerable individuals, including Native American communities and adults in crisis, County 10 reports.
According to a statement from the insurer, the scheme involves recruiters visiting homeless shelters and American Indian reservations in Wyoming and neighboring states to persuade individuals to enroll in questionable treatment programs. These facilities often promise care for mental health or addiction issues but instead provide substandard or nonexistent services.
In some cases, individuals without health insurance are urged to enroll in Wyoming-based policies through Healthcare.gov, with false documentation allegedly used to facilitate the process. The goal, BCBSWY reports, is to bill insurers for services that are inadequate or never delivered.
“This type of fraud is a harmful exploitation of people facing significant challenges,” said Amy Scharaswak, Director of Population Health, Care Delivery & Coordination at BCBSWY. “These schemes use aggressive and misleading tactics, taking advantage of individuals during moments of crisis.”
Victims of these operations may be left stranded out-of-state without adequate care or support to return home, the insurer warned. Additionally, tribal governments and public agencies have had to devote extensive resources to investigating and addressing these incidents—resources that might otherwise support legitimate care efforts.
The impact extends beyond individuals, placing additional pressure on public health programs, insurers, and Native American communities, which are disproportionately targeted in this scheme.
BCBSWY recommends the following precautions for individuals seeking addiction treatment:
Verify Credentials: Confirm the legitimacy and accreditation of any treatment center.
Be Cautious of Incentives: Avoid facilities that offer incentives, payments, or free travel in exchange for enrollment or treatment.
Avoid High-Pressure Tactics: Be wary of centers using aggressive or misleading recruitment methods.
Seek Local Guidance: Consult trusted health care professionals or community organizations for referrals to licensed programs.
Residents who suspect they’ve been contacted by a fraudulent treatment center or have witnessed suspicious activity are encouraged to report it to their insurer and the Wyoming Insurance Department’s Consumer Affairs Section at (307) 777-7402, or file a complaint online at doi.wyo.gov/consumers.
Blue Cross Blue Shield of Wyoming is a not-for-profit health insurance provider that has served communities across the state for over 80 years. As an independent licensee of the Blue Cross Blue Shield Association, BCBSWY offers local health care solutions and services through eight regional offices throughout Wyoming.
More information is available at BCBSWY.com.
