Medical helicopter provider investigated for Health Care Fraud
Last week, the Justice Department investigators seized records from a major medical helicopter provider, Air Evac Lifeteam. They are being investigated for possible health care fraud.
The company is cooperating with authorities and have turned over documents to the Federal bureau of Investigations. Health Care investigations can typically be about improper billing matters, Medicare or Medicaid Fraud.
Air Evac Lifeteam has grown their business by focusing on servicing communities in rural areas. They sell minimal annual subscriptions under $100. When the subscriber needs emergency medical attention, they call Air Evac instead of 911. This is economical compared to the cost of an ambulance ride. How does Air Evac make their money? They bill the private insurance company, Medicare or Medicaid for anywhere between $5000 - $10,000 for the helicopter ride to the hospital. I know this is a premium, service, but this price seems expensive for the service.
Time will tell if the FBI investigation will uncover a Qui Tam claim for Medicare or Medicaid or even false billing evidence against Air Evac Lifeteam. Let's hope the whistleblower in the qui tam suit had all of the necessary documents, so they can share in an award if there turns out to be one.
Click Here to Read New York Times article on Air Evac and the potential health care fraud.