A 30-year-old Tucson insurance agent has been indicted by a state grand jury on charges connected to an alleged insurance fraud scheme targeting seniors.
All of Megan Racz's alleged victims are 65 or older.
Prosecutors said during the Medicare open enrollment period from November 2011 through December 2011, Racz transferred the Health Net Medicare supplemental policies of 37 people, four who were dead at the time, to United Health Care supplemental polices without the consent of the policyholders.
The policyholders tipped off authorities about the unauthorized transfers after they were notified their Health Net Medicare supplemental policies were being canceled, according to prosecutors. Others had received information about new United Health Care policies that they never requested.
United Health Care and Health Net worked together to see that none of the policyholders' Medicare coverage lapsed. Prosecutors alleged Racz received more than $25,000 in commissions for transferring the Medicare supplemental policies.
Racz was formally indicted on one count of fraudulent schemes and artifices, one count of theft, six counts of aggravated identity theft, two counts of identity theft and four counts of forgery.
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Thursday, May 16 2013 2:06 PM EDT2013-05-16 18:06:52 GMT
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