Friday, September 29, 2006

Fake Insurance

From Consumer Affairs:
Authorities in several states are warning consumers to avoid a new scam, which solicits participants in a phony group health insurance plan.

The solicitors, operating under the name National Trade Business Alliance of America, claim to provide inexpensive health plans through a number of legitimate insurers.

In most cases, consumers are being asked to pay an application fee of $136 and a monthly premium of as much as $207. The consumers, it turns out, get nothing for their money.

So far, more than 300 people nationwide have been victimized by the scam. An investigation by the Kentucky Office of Insurance has found more than seven victims in the state.