Insurance commissioner issues scam warning
North Dakota Insurance Commissioner Jon Godfread issued a warning on Wednesday about a trend of insurance scams from fraudulent rehabilitation centers.
Jacob Just, director of communications, said victims are recruited through in-person visits in which a recruiter may have traveled to North Dakota from out of state. From that point, it is unclear whether most victims are recruited from meetings on the street or through social media recruitment. According to Just, many recruiters are coming from California.
The scams are heavily targeting Native American communities, according to Godfread’s office, and the state insurance office isn’t sure why those communities are perhaps viewed as targets of opportunity.
It is not purely a financial fraud. Often, victims are left stranded at a facility location, according to Just. Just said that often, a victim’s insurance buys a plane ticket or other means of travel, then the victim travels to receive sub-par, if any, treatment. Facilities then leave people with nowhere to go and no means to return home, leaving them stranded, according to Just.
According to Godfread’s office, victims without insurance have also been pressured to purchase insurance through government portals.
The following precautions were issued:
– Verify credentials of any rehab center or treatment provider.
– Be cautious of any facility that makes extraordinary promises, uses high-pressure sales tactics or asks for sensitive personal or insurance information up front.
– Consult a trusted healthcare provider, therapist or local support group that can help offer legitimate treatment options.
If someone thinks they have been contacted by a scheme like this, they are encouraged to contact the N.D. Insurance Department.



