Over the past century modern medical science has made enormous strides in its ability to treat a wide variety of human illness’ and as a result has become a very lucrative economic enterprise. While most health care products and services are legitimate there are still the snake oil dealers who purport to have miracle cures for whatever ails you. These schemes prey upon the victims of illness who have either been unable to find relief from conventional medicine or are unable to afford it. These products are generally ineffectual and can be very expensive and include counterfeit pharmaceuticals, diet/weight loss products and low cost surgery. In the most extreme cases patients can suffer serious injury or even death from health products that have not been safety tested or from procedures carried out by untrained providers.

With many Canadians turning to the internet for their health care needs the appearance of fraudulent health products and services has become more pervasive than ever. The sources of the websites promoting these products are located throughout North America. As a result, the government of Canada has recently signed a trilateral charter of cooperation with the U.S. and Mexico to combat health fraud and misleading nutrition advertising. The Competition Bureau of Canada is leading the charge to increase consumer awareness of this growing phenomena and investigating cases of false or misleading advertising related to health care products and services. To learn more click here to visit the Competition Bureau’s website.

Health care fraud was on the operating table at the 22nd Annual Conference of the American Bar Associations Criminal Justice Section. A panel led by Susan Winkler, the chief of the health care fraud unit for the US attorney’s Boston Office, discussed topics related to fraudulent off label drug marketing, unlawful drug pricing, and health care provider kick back schemes.

In recent years American government regulators have been cracking down on large pharmaceuticals companies who’s business practices have run foul of medicaid and fraud laws. in a recent settlement the large US drug manufacturer Merck, paid a $650 million settlement to the US federal government because of an investigation that precipitated charges of fraud and illegal kickbacks for physician referrals. These problems periodically plague large drug companies when their system of internal checks and balances fails to catch a lapse in ethical and lawful business practices. In these cases the fines are often severe and have reportedly had the effect of punishing most large companies into compliance.

But what about smaller drug and medical device manufacturers? The conference panel cited these smaller players as the next target for an anti-fraud blitz. The consensus was that these nominally sized firms often fly under the radar, and lack the resources to develop and implement formal policies or safeguards to ensure that the firm is acting lawfully on all fronts. These smaller firms must tread lightly in this high stakes world where large fines could cripple or even bankrupt them entirely.

Each year countless Canadians are victims of fraud and many don’t realize it or report it for that matter. Annual fraud loses are safely estimated in the billions. In an effort to protect consumers and reduce the incidence of fraud, the Competition Bureau of Canada in conjunction with its strategic partners participate in an annual initiative taking place in March. Fraud Prevention Month seeks to raise public awareness of the dangers of fraud, while educating Canadians on how to “Recognize it. Report it. Stop it.” There will be fraud awareness events taking place across Canada throughout the month where you can learn more information and tips about protecting yourself from becoming a victim of fraud. Click here to view the list of CHCAA events during Fraud Prevention Month.

While Fraud Prevention Month events cover a whole range of fraud topics, each year there are a few selected subjects that are given a special focus. This year health care fraud will be one of the main features, as it is becoming an increasingly costly problem in Canada. Each year, billions of dollars of your money is lost to fraud schemes involving health care products and services. Health care fraud is often seen as a victimless crime, when in fact it comes at a cost to each and every Canadian. Remember that each health care dollar lost to fraud represents one less dollar that can be spent to support a better quality of health care for you. The following tips can help you protect yourself and our health care system from fraud.

• Fraudsters can make a lot of money by stealing your identity, so keep your health or insurance benefit card(s) in a safe place and report any lost or stolen cards right away.

• Some health care providers will fraudulently generate revenue by billing for services that were not rendered. Always check your health benefit billing statements and immediately report any discrepancies to your benefit provider

For further information about health care fraud click here. Or to report it click here.

Learn more and protect yourself and your health in 2008!