Statute of Limitations for Health Care Fraud in California
It is against the law to defraud an insurance company. Health care fraud occurs when a person files a false health care claim. According to Cornell University Law School, health care fraud raises the price of health care benefits for everyone in the country by approximately 10 cents for every dollar spent on health care.
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Types of Fraud
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The commission of fraud occurs when a person, health care provider or patient submits or causes someone to submit false or misleading information to an insurer. Examples of health care fraud include billing for services not performed, falsifying a patient's diagnosis, using someone else's coverage and forging or selling prescription drugs.
Enforcement
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Federal law requires insurance companies to pay claims within 30 days. Consequently, the agencies responsible for investigating health care fraud are often unable to perform an investigation prior to the issuance of the benefit payment.
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Statute of Limitations
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Because it is against the law to commit health care fraud, a person may face severe penalties. In California, the statute of limitations for the intent to defraud is four years from the date of discovery by law enforcement or the victim. A conviction for health care fraud may result in a term of imprisonment, fines and the loss of the right to practice medicine.
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