California and the federal government battle over hospice fraud, as victims lose coverage and care
At 71, Linda Henry felt healthy and only visited her doctor in Southern California for occasional checkups. She was surprised when she discovered in 2024 that she had been enrolled in hospice care.
California's elderly residents have been targets of rampant fraud in the hospice industry. Scammers create fake hospices and deceive people into enrolling, or steal identities to bill Medicare for services. California has removed over 1,000 hospices from Medicare since early 2025 due to this issue.
Medicare will not cover additional medical treatment once someone enrolls in hospice, leaving vulnerable seniors without crucial care. Fraudsters have taken advantage of this, resulting in millions of taxpayer dollars being sent to them each year.
California has taken steps to address the problem, revoking nearly 500 licenses and enacting stricter criteria for approving new licenses. Federal officials estimate that LA County alone accounts for $3.5 billion in fraudulent hospice claims.
Written by urgent.news from Winnipeg Free Press's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.