Medicare Fraud Bumps Workers Comp Fraud Off The Radar?

radar.jpgBudget priorities and redirection of investigations at the state level, has led to a drop off in investigations of workers compensation fraud at a time when such fraud is increasing, according to investigators. The focus on Medicare and Medicaid fraud prosecutions has led, according to insurance industry sources, to a decrease in private insurance fraud cases, including health care insurance fraud and most notably worker’s compensation fraud. Actually, the rationales are somewhat simple, legislatures looking at investigation budgets, State and Federal, are often concerned with the return on investment. Therefore, if a state agency is bring back stolen Medicaid funds, the legislator sees a direct benefit to funding those fraud investigation programs as the programs become budget neutral or even a budget positive. However, recouping funds for private companies does not share the same status. This is a phenomenon more likely in Attorney General Office or state programs directly funded by the legislature, as opposed to more local offices.
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