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Health Fraud in Cyberspace

Posted in: General on 6/25/2008

The US Food and Drug Administration (FDA) announced recently that it will take the fight to on-line sellers of holistic products that make grandiose claims about their ability to treat serious illnesses like cancer. The FDA has red flagged approximately 125 products because they have not been properly tested or approved by the FDA for use in combating or preventing diseases.

At the same time, they have sent 25 warning letters to companies making these claims in their product advertising to the public. Although the efficacy of these products has not yet been proven or disproven, the FDA generally adopts a cautious approach to new foods or drugs before approving them for specific use by the public.

The potential problems that arise in this case are two fold. First, patients may be spending significant amounts of money on products that provide no benefit for their condition. Secondly, it could be extremely dangerous to an individual’s health if they substitute a prescribed course of treatment with one that is untested and may cause harmful side effects or is incapable of treating them.

The FDA has embraced this initiative as part of its wider commitment to the North American trilateral health fraud working group (MUCH), which includes Mexico, Canada, and the US. Each year, this collaborative targets a different area of on-line health fraud that is impacting all three member countries.

In Canada, the Competition Bureau has taken the lead in monitoring and prosecuting these kinds of scams. This past March, the Bureau launched Project False Hope, an education and enforcement initiative aimed at targeting cancer-related health fraud on-line. As part of this initiative the Bureau has created two interactive web tools to help consumers protect themselves from becoming victims of online health scams. The Anatomy of an Online Health Scam is designed to teach you how to identify some of the tactics often used by scammers selling bogus cancer cures or treatments online. The Health Fraud Awareness Quiz tests your knowledge of scammers’ tactics and teaches you how to avoid falling victim.

The best way to protect yourself is through education, giving you the ability to spot the myriad online health scams that threaten consumers.

A Day For Dental Fraud

Posted in: General on 6/24/2008

Last Thursday, the CHCAA hosted a fascinating educational seminar focused on dental fraud and abuse. The event featured a unique roster of speakers representing the various stakeholders involved in dental health care. The day was moderated by well-known dental consultant Dr. Richard Beyers. As former President of the Royal College of Dental Surgeons of Ontario (RCDSO), Dr. Beyers has been a long-time advocate of strict ethical billing practices amongst dentists. In his presentation he highlighted that insurers are catching more dental fraud as a result of improved detection techniques as part of a more robust risk management strategy.

The Ontario Dental Association (ODA) offered a very positive message from the dentists’ point of view, reinforcing its zero tolerance policy towards fraud amongst its members and offering its support of cooperation for initiatives that will help to bridge the gap between health care providers and payors.

Susan Bowyer, of Mercer, provided the insurance plan sponsors’ perspective, in which she discussed the need for stronger benefit plan design and more education for plan members about the negative effects of health care fraud on their benefits.

The event was attended by over 50 people from a range of industries representing the private and public sectors as well as providers’ groups and associations. The event helped to facilitate dialogue between stakeholders who each propounded a different message and perspective on the dental fraud issue. However, by the end of the day it was refreshingly apparent that there was more common than contrary ground amongst the participants as well as a genuine willingness to cooperate in order to manage the problem.

The CHCAA is enthusiastic about working inclusively with each stakeholder as we move forward with the development of strategies for fraud risk management within the dental health industry.

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