Horizon Blue Cross Blue Shield of New Jersey Saves Members, Health System a Record $45.4 Million through Anti-fraud Efforts

Share Article

Highest/recovery prevention total since Horizon BCBSNJ created its fraud fighting

BCBS NJ Logo

Through state-of-the art software and smart detective work, we’re constantly improving our ability to recognize and investigate questionable claims and claim trends closer to real time.

Horizon Blue Cross Blue Shield of New Jersey (Horizon BCBSNJ) announced today that its efforts to combat health insurance fraud resulted in $45.4 million in savings -- identified as a combination of monies recovered and losses avoided -- in 2014. The $45.4 million represents the highest/recovery prevention total since Horizon BCBSNJ created its fraud fighting, Special Investigations Unit (SIU) in 1983. Since 2005, Horizon BCBSNJ’s anti-fraud efforts have saved members $261 million.

“Our SIU has progressively enhanced Horizon’s analytics capabilities, which has allowed us to be more intuitive in our anti-fraud efforts, and better capable of detecting and stopping fraud in its early stages,” said Douglas Falduto, vice president, Administration and Chief Security Officer for Horizon BCBSNJ. “Through state-of-the art software and smart detective work, we’re constantly improving our ability to recognize and investigate questionable claims and claim trends closer to real time.”

In 2014, the SIU opened 1,318 new cases of suspected fraudulent activity. Many investigations begin after tips are reported confidentially to the Horizon BCBSNJ Anti-Fraud hotline -- 1-800-624- 2048. The company received 2,450 calls to its hotline in 2014.

Fraud and abuse can involve both health care providers and health care consumers. Common examples include:

Providers:

  • Billing for a fraudulent diagnosis
  • Billing for services not rendered
  • Billing for services not furnished as billed, also known as “upcoding”
  • Inappropriate physician/ancillary provider relationships resulting in kickbacks

Consumers:

  • Filing a false claim
  • Using a false ID number
  • Misrepresenting a dependent as eligible for policy coverage

“Horizon is committed to ensuring that members’ health care dollars are used appropriately. We encourage our employees, health care providers and members to be on the lookout for suspicious activity or billing and report it to the SIU,” Falduto said.

According to National Health Care Anti-Fraud Association estimates, tens of billions of dollars are lost to health care fraud each year.
###

About Horizon Blue Cross Blue Shield of New Jersey
Horizon Blue Cross Blue Shield of New Jersey, the state’s oldest and largest health insurer is a tax-paying, not-for-profit health service corporation, providing a wide array of medical, dental, and prescription insurance products and services. Horizon BCBSNJ is leading the transformation of health care in New Jersey by working with doctors and hospitals to deliver innovative, patient-centered programs that reward the quality, not quantity, of care patients receive. Learn more at http://www.HorizonBlue.com. Horizon BCBSNJ is an independent licensee of the Blue Cross and Blue Shield Association serving more than 3.8 million members.

Share article on social media or email:

View article via:

Pdf Print

Contact Author

Thomas Vincz
Horizon Blue Cross Blue Shield of New Jersey
973-466-6625
Email >
Visit website