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Medicaid scams

Last updated September 18, 2026

The short answer

Medicaid scams target renewal and redetermination: a caller says your coverage is about to lapse and needs personal details or a fee to keep it active. Medicaid never charges a fee to apply or renew, and your state agency contacts you by post, not by demanding payment on a call.

Medicaid redetermination — the periodic check that a member still qualifies — has produced genuine, widespread coverage loss, and with it a population that knows their coverage is at risk and does not know exactly when or how they will be asked to confirm it. That is close to an ideal condition for impersonation. The people affected are also, by definition, low-income, which makes both a fee and an identity theft disproportionately damaging.

How Medicaid scams work

  1. 1

    Renewal and redetermination calls

    A caller says your Medicaid coverage is about to lapse and they can complete the renewal now. They need your Social Security number, Medicaid ID and date of birth — the identity package — and sometimes a "processing fee".

  2. 2

    Fees for a free application

    A company offers to handle a Medicaid application for a fee. Applications are free through your state agency and through healthcare.gov.

  3. 3

    Fake benefit cards and upgrades

    Offers of a new benefits card, a flex card, or extra benefits in exchange for confirming your member number. The number is used for fraudulent billing.

  4. 4

    EBT and benefit-card skimming crossover

    Members often hold both Medicaid and SNAP benefits, and the same operators run card-skimming and text-phishing schemes against the EBT card.

Warning signs

  • A caller says your Medicaid will lapse unless you act on this call
  • You are asked for a fee to apply, renew or keep coverage
  • Anyone asks for your Social Security number or Medicaid ID by phone or text
  • A new benefits card or extra benefits is offered for confirming your number
  • The contact is by text with a link rather than by post
  • You are pressured not to hang up and call your state agency
  • The caller cannot tell you which state agency they work for

Examples

The renewal that took an identity

A member is called about an urgent redetermination and gives her Social Security number, date of birth and Medicaid ID to "complete the renewal on the phone". No renewal was pending. Within six weeks two credit accounts and a phone contract are opened in her name.

$75 to apply

A storefront offers to complete Medicaid applications for $75 "to make sure it is done right". The application is the same free form available from the state agency, and in two cases it was never submitted at all. The fee is the entire business.

What to do

  • Call your state Medicaid agency directly using the number on your card or benefits letter.
  • Never pay a fee to apply for or renew Medicaid. It is always free.
  • Keep your address current with your state agency — that is how real renewal notices reach you.
  • Never give a Social Security number or Medicaid ID to an inbound caller.
  • Get free help from a certified navigator or assister through healthcare.gov if you need it.

Report it to Medicaid

Report to your state Medicaid agency and to the HHS Office of Inspector General at 1-800-HHS-TIPS. Medicaid renewal is always free.

Our step-by-step guide: Medicaid

Getting your money back

If a Social Security number was given up, place free credit freezes at all three bureaus and file at IdentityTheft.gov for a tailored recovery plan — that is the step that stops new-account fraud. A Medicaid ID cannot be reissued like a card, so watch for services billed in your name and report them to your state agency, which has a fraud unit for exactly this. Fees paid to an application service should be disputed and reported to your state attorney general. Confirm your actual coverage status directly with the state agency, since that is often the real question underneath.

Frequently asked questions

Does Medicaid charge anything to apply or renew?

No. Applying for and renewing Medicaid is free through your state agency and healthcare.gov, and free help is available from certified navigators. Any fee is a scam or, at best, a charge for filling in a form you can complete yourself.

How will I be told my Medicaid coverage is up for renewal?

Your state agency sends a renewal notice by post to the address on file, which is why keeping that address current matters so much. Some states also send texts or emails, but none of them ask for a Social Security number or a payment on a phone call.

What should I do if I am not sure whether my coverage lapsed?

Call your state Medicaid agency on the number from your card or benefits letter, or check your account on the state's own site. Do not use a number from a text or an inbound call. If coverage has lapsed, the agency can tell you what the reinstatement path is — and it will not involve a fee to a third party.

Other companies scammers impersonate

Scams reuse their scripts across brands. If you were contacted about Medicaid, these are the guides worth reading next.

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