Michael Baer pled guilty to submitting over $20,000 in fraudulent insurance claims and for using “runners” to bring in patients. Between May and November 2000 Baer submitted claims to Parkway Insurance Company and Hanover Insurance Company for services that they did not provide. He also admitted to hiring runners who bring in patients so a medical provider can bill their insurance.

There have been many cases nationwide where chiropractors and other providers hire runners to drive around in a van and pick up people with insurance or Medicaid coverage. These runners often target children, mentally disabled people, and other vulnerable people.

These scam artists often offer bribes to the patients. Some cases reported that kids were given Gameboys in return for their Medicaid ID. The providers bill for services that are completely unnecessary. In many cases, they bill for services that were not even provided.

Source: “Morris County Chiropractor Pleads Guilty to $20,000 Insurance Fraud.” 17 Jun. 2003b. Trenton: New Jersey Office of Insurance Fraud Prosecutor. Available: press release.

Health Care: Fraud Schemes Committed by Career Criminals and Organized Criminal Groups and Impact on Consumers and Legitimate Health Care Providers. Washington: United States General Accounting Office, 1999. more information