8 Medicare scams to avoid in 2025

The number of Americans on Medicare has been steadily growing for years, with more than 67 million currently enrolled. That means more people than ever are at risk of being targeted by Medicare scams.

According to the Department of Health and Human Services, over $100 billion was lost to “improper payments” across the Medicare and Medicaid programs in 2023. Medicare fraud is part of the problem, and it causes issues that extend beyond financial losses.

Being targeted by a Medicare scam puts you at risk of compromised healthcare coverage, financial wellness troubles, and emotional distress. To help protect yourself, we’ve compiled a guide to some of the most common schemes Medicare scammers use and what you can do to avoid them.

8 common Medicare scams

Medicare fraud can be orchestrated via mail, email, or phone by fraudsters both inside and outside of the medical field. These criminals typically seek financial gain, using various schemes to steal personal information and commit identity theft.

Although the Medicare program has safeguards in place, including a system for reporting fraud, scams still manage to slip through the cracks.

Whether it’s somebody impersonating a Medicare employee to trick you into revealing your Social Security number or a medical administrator carrying out billing fraud by logging inaccurate charges, knowing what to look out for can help you identify a scam if you’re targeted.

These are some of the most common Medicare scams to avoid in 2025.

1. You’re told to get a new Medicare card

The release of new Medicare cards in 2018 prompted fraudsters to develop a convincing Medicare card scam, which is still used to this day. It involves somebody pretending to be a Medicare representative and encouraging you to share personal details so they can replace your card with a newer or more secure version.

If you agree, they might request your Social Security number, Medicare ID details, or other personally identifiable information, claiming they need it for verification. They can then use these details to steal your identity, file fraudulent Medicare claims in your name, or open new financial accounts.

The main warning sign of a new Medicare card scam is receiving direct contact from a “Medicare representative” when you didn’t request it. Medicare will only ever get in touch with you if you ask them to.

If you need a new card, you can either log into your secure account at Medicare.gov to print one yourself or call (800) 633-4227 to get one sent in the mail.

2. You’re told your Medicare benefits are canceled

In a benefits cancellation scam, a scammer will get in touch with you and claim you’re at risk of losing your Medicare coverage. They might leverage this threat to get your personal information or encourage you to send them a payment directly.

Contrary to what these Medicare scam callers insist, there are only a few circumstances that would lead to the cancellation of your benefits, like failing to pay your premiums or committing fraud.

Scammers will use urgent language and pressure tactics to rush you into making a mistake. Complying with their request could leave you out of pocket or at risk of serious identity theft.

Avoiding this scam relies on you staying calm if you’re targeted. If you’re ever in doubt, check the status of your coverage on the Medicare website or by calling Medicare directly at (800) 633-4227.

3. You’re offered better or cheaper Medicare coverage

While basic Medicare coverage is free for most recipients, certain supplementary plans have a monthly premium. Scammers leverage this fact in insurance offer scams, suggesting that you’re eligible for a cheaper price on your existing plan, a more robust Medicare Advantage plan for the same price, or coverage of additional drugs.

If you fall for their fake offer, the scammer may try to steal your personal or financial information, claiming they need details like your Social Security number to process your enrollment or verify eligibility. They might even ask you to make an immediate payment over the phone.

4. You’re offered a rebate or refund for medical expenses

Medicare scammers may claim that you’re entitled to a refund or rebate on prescriptions, equipment, or medical services that you’ve received. However, to get access to the money you’re “owed,” they’ll say you need to confirm your billing details or personal information.

While you may be eligible for some legitimate refunds or rebates, your healthcare provider should inform you about them directly. In other words, if someone you don’t know contacts you unprompted and claims that you’ve overpaid for services and qualify for a rebate, it’s almost always a scam.

5. You’re offered free or discounted medical tests and equipment

Some Medicare scam calls promise free or steeply discounted medical equipment or services (like genetic testing) in exchange for your Medicare or credit card number. Scammers running these schemes may claim to be a representative from Medicare or a third-party medical organization.

Giving up your personal or financial information will leave you exposed to fraud, and could even lead to your Medicare coverage being canceled if the scammer makes false claims in your name.

Any offer of free medical products or services should be treated with extreme caution, and verified directly with a trusted medical professional or Medicare representative. Never share your Medicare number with someone who contacts you over the phone, via email, or in person, unless you’ve given them explicit permission to do so.

6. You get excessive bills for online or telehealth services

A telehealth scam involves providers that operate over the phone or internet exploiting you as a customer for financial gain. They might do this by prescribing medications without completing a thorough exam, billing for consultations that never happened, or misrepresenting services to overcharge.

While telehealth services offered through Medicare are often legitimate and can be an effective and convenient way to get care, they also present a significant scam risk.

Look out for red flags like your doctor rushing through your concerns, making you schedule multiple appointments for a simple issue, or offering medicine or diagnoses hastily. These can all lead to a bill that’s too high, leaving you unfairly out of pocket.

7. You’re not cared for or billed correctly at a hospice

Hospice fraud involves healthcare workers providing subpar hospice services, fraudulently accepting patients who don’t qualify for end-of-life care, or billing incorrectly for services to collect more money from Medicare.

These schemes often target particularly vulnerable victims who might not be able to defend themselves against the risks. To make sure a sick loved one isn’t being exploited, look out for them being pressured to enroll in a hospice when it’s not necessary, denied services or otherwise neglected while in care, or overcharged for hospice services.

8. You receive inaccurate or unexpected medical bills

Healthcare providers can commit billing fraud by submitting false or misleading claims so they’re paid more than they’re owed for services provided.

Possible approaches include overcharging for services, upcoding (billing for a more expensive service than the one that was provided), unbundling (separately billing for components of a single service), and phantom billing (billing for services that were never performed).

Requesting an itemized bill for any healthcare services you receive can help you spot billing fraud, protecting you from paying more than you need to. You can also check for any fraudulent bills by regularly monitoring your claims history on the Medicare website.

How to report Medicare fraud

The process for reporting a Medicare scam or subsequent case of identity theft is fairly straightforward. Here’s a step-by-step guide to help you take action if you’re targeted:

Step 1: Gather evidence

• Log into your secure Medicare account at Medicare.gov to investigate how your insurance benefits were used and where.
• Take screenshots or save copies of suspected fraudulent communications, including emails, texts, documents, and calls.
• Record any information you have about the scammer and make notes about what happened.

Step 2: Contact the right people

• Report the scam to Medicare by calling the fraud hotline at (800) 633-4227 or using the online form. Medicare’s investigators will look into your claim and possibly pursue legal action against the offender.
• File an identity theft report with the Federal Trade Commission. The FTC can carry out a full investigation and may bring charges against the perpetrator.
• Submit a report with your state’s Senior Medicare Patrol (SMP). This program exists to help protect Medicare beneficiaries and caregivers from fraud, errors, and abuse.
• Report the fraud to any third-party healthcare companies that were involved, especially if you believe one of their medical professionals or administrators was behind the scam. It’s their responsibility to take appropriate action.
• Submit a complaint with the Office of Inspector General if a provider bills for treatment you didn’t receive or makes a fraudulent claim to your insurance company. They can carry out an investigation and help you get restitution.

Step 3: Begin the recovery process and monitor for progress

• Keep tabs on any open investigations related to your case.
• Freeze your credit to stop the Medicare scammer from using your personal or financial information to rack up more debt.
• Consider consulting an attorney to understand how to recover any lost funds or insurance coverage.
• If you lost money to Medicare fraud and have a LifeLock membership, file a claim to get reimbursed for stolen funds.

How to protect against Medicare fraud

Regularly reviewing your insurance statements, treating unsolicited contact with caution, and contacting Medicare directly if you have questions about your benefits or bills can all help safeguard you from Medicare fraud. Here are some other ways to protect yourself:

Get help recovering from Medicare scams

Even if you do everything right, it’s still possible for your Medicare information to be compromised. Or, scammers could get access to your Social Security number, or other personal details, and use it to commit health care fraud. If that happens, you need LifeLock’s expertise and protection on your side.

LifeLock Standard offers access to dedicated support from U.S.-based restoration specialists who’ll help you recover your identity if it’s stolen following a Medicare scam. Active credit monitoring features also help you reduce exposure of your personal information online, with automatic alerts notifying you if it’s used in fraudulent financial applications so you can act quickly to protect yourself.

FAQs

What is a Medicare scam?

A Medicare scam is a fraudulent scheme targeting a Medicare recipient. Scammers typically pretend to be from Medicare or another medical organization to trick you into providing your Medicare ID, Social Security number, or financial information. They can then use your details to file false claims, open new accounts in your name, and commit other types of health care fraud.

Medicare fraud is a common type of scam targeting the elderly, but anyone who qualifies for Medicare is at risk.

What can a scammer do with your Medicare number?

A scammer with your Medicare number can steal your identity, filing false claims or fraudulently accessing medical care under your name and accumulating charges with providers. They can also redirect your prescriptions to their address, instead of your own.

Does Medicare ever call you on the phone?

Medicare will never call you or visit your home to sell you new plans, offer discounts, tell you your coverage is expiring, or prompt you to apply for a new Medicare card. If you receive unsolicited contact from someone claiming to be from Medicare, it’s highly likely to be a scam.

Is Medicare issuing new cards?

Medicare has not announced plans to release new cards for beneficiaries, with the last major Medicare card update carried out in 2018. If somebody contacts you claiming they can send you a new card, they’re likely running a scam.

Why are you getting so many spam calls about Medicare?

An increase in spam calls might be the result of fraudsters getting access to your contact information if it was leaked in a data breach or sold on the dark web. You can minimize unwanted calls by adding your phone number to the National Do Not Call Registry or using your phone’s spam-blocking features.