Open Enrollment season is here, and so are the scammers. As individuals and families explore their health insurance options, advertisements, emails, text messages, and phone calls promoting affordable coverage are becoming increasingly common. While many offers may be legitimate, others could be designed to mislead consumers or steal personal information.

At Paradise Bank, we believe protecting your financial well-being goes beyond banking. Staying informed about common scams can help you safeguard your personal information, finances, and peace of mind.

 

Not Every Health Insurance Offer Is What It Seems

Scammers often take advantage of Open Enrollment season by advertising plans that promise comprehensive coverage at unusually low prices. Some offers may appear legitimate but actually involve:

• Limited Coverage Plans: Policies that provide significantly fewer benefits than traditional comprehensive health insurance.

• Medical Discount Programs: Programs offering discounts on certain healthcare services but are not actual health insurance.

• Impersonation Scams: Fraudsters posing as government representatives, Marketplace agents, or trusted insurance companies to collect sensitive personal or financial information.

These offers can be especially convincing when they use official-looking logos, professional websites, or familiar company names.

 

Red Flags to Watch For

Before responding to a health insurance advertisement or offer, be aware of these common warning signs:

• Offers That Sound Too Good to Be True: Be skeptical of promises of extremely low premiums, guaranteed benefits, or unusually generous coverage.

• High-Pressure Sales Tactics: Scammers may insist you enroll immediately to avoid losing a special offer.

• Unexpected Requests for Personal Information: Never provide your Social Security number, banking details, or other sensitive information in response to unsolicited calls, emails, or text messages.

• Suspicious Robocalls: Be cautious of unexpected prerecorded calls promoting health insurance. Unauthorized telemarketing robocalls are a common warning sign of potential fraud.

• Unverified Links: Avoid clicking links in unsolicited messages advertising health insurance. These may direct you to fraudulent websites designed to capture your information.

How to Shop for Health Insurance Safely

If you are exploring health insurance options, start with trusted resources and take time to verify any offer before enrolling.

For coverage through the federal Health Insurance Marketplace, visit:

Official Marketplace Website: HealthCare.gov

Marketplace Call Center: 1-800-318-2596

When reviewing your options, carefully examine the coverage details, deductibles, provider networks, and exclusions. Remember that a low monthly premium does not always mean a plan provides the protection you need.

If someone contacts you unexpectedly claiming to represent an insurance company or government agency, avoid sharing personal information. Instead, contact the organization directly using a verified phone number or official website.

 

What to Do If You Suspect a Scam

If you receive a suspicious health insurance advertisement, phone call, email, or text message, do not engage with the sender or provide any personal information.

You can report suspected fraud to the Federal Trade Commission (FTC) at ReportFraud.ftc.gov.

If you have already shared financial information or believe your bank account may have been compromised, contact your financial institution immediately.

 

Stay Informed. Stay Protected.

Scammers often use urgency, attractive offers, and trusted names to gain your confidence. Taking a few extra moments to verify information can help prevent identity theft, financial loss, and unwanted surprises.

At Paradise Bank, your security is our priority. We encourage our clients and community to stay vigilant, ask questions, and think twice before sharing sensitive information.

This Open Enrollment season, remember: A great offer should never come at the expense of your security.