BISMARCK — The North Dakota Insurance Department issued a warning Wednesday to residents statewide, saying there are fraudulent rehabilitation centers “preying” on people seeking substance use treatment — especially those living on American Indian reservations.
According to the a news release from the department:
Victims have been recruited to enter treatment through in-person visits and social media. Scammers disguise themselves as legitimate out-of-state rehab centers or treatment programs.
However, their true aim is to bill insurance companies for unnecessary or non-existent treatments, leaving victims without proper care and sometimes with devastating financial consequences.
“These fraudulent schemes often feature aggressive recruitment tactics and victims receiving misleading or false information about the treatment programs,” said Insurance Commissioner Jon Godfread in the release.
“North Dakotans who are battling addiction should know that they are not alone, and reputable resources are available. These fraudulent programs are a cruel exploitation of individuals in some of their most vulnerable moments,” Godfread said.
The release listed ways those seeking addiction treatment can take precaution:
- Verify the credentials of any rehab center or treatment provider.
- Be cautious of any facility that makes extraordinary promises, uses high-pressure sales tactics or asks for sensitive personal or insurance information upfront.
- Consult a trusted healthcare provider, therapist or local support group
The North Dakota Insurance Department urges residents who think they have been contacted by a fraudulent scheme to contact the department at
or by visiting
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