Equipment Schemes, Genetic Testing, and Billing Fraud
Many Medicare scams focus on exploiting your identification number to defraud the federal government rather than stealing your money directly. Unscrupulous suppliers bill Medicare billions of dollars annually for equipment you never ordered.
The $10 Billion DMEPOS Enforcement Alert
On September 14, 2026, the HHS Office of Inspector General issued an urgent oversight report. The document highlighted severe screening vulnerabilities in Medicare Advantage for Durable Medical Equipment, Prosthetics, Orthotics, and Supplies (DMEPOS).
The report detailed an enforcement case where bad actors fraudulently billed Medicare over $10 billion for unneeded equipment. Beneficiaries nationwide received unsolicited wrist braces, back supports, and urinary supplies ordered by doctors they never met.
Genetic Testing and DNA Swab Scams
Another persistent scheme involves unsolicited genetic screening kits distributed at community fairs or sent directly through the mail. Promoters advertise a “free DNA cancer screening” fully covered by Medicare.
They collect your Medicare number under the guise of processing lab tests. The fraudsters then bill Medicare thousands of dollars for unnecessary tests while returning inaccurate or meaningless results.
Case Study: How Margaret Handled an Unsolicited Parcel
In November 2026, 71-year-old Margaret received an unexpected parcel containing two expensive orthotic knee braces. The package included an invoice showing a private medical supplier had billed Medicare Part B $1,450.
Margaret had never suffered from knee pain, nor had her doctor prescribed orthopedic supports. She recognized the delivery as a fraudulent billing scheme aimed at exploiting her Medicare record.
Margaret immediately contacted the supplier listed on the shipping label and demanded a pre-paid return slip. She refused to pay any balance and contacted fraud authorities to protect her account.
