The Affordable Care Act’s exchanges are highly vulnerable to fraud, allowing fake identities and dead people to receive Obamacare subsidies, according to a report released Wednesday by the Government Accountability Office, a nonpartisan congressional watchdog agency.
Investigators created 20 fake identities and tried to enroll them in Affordable Care Act marketplace plans to see if the system would stop obvious fraud. They submitted applications directly on HealthCare.gov and through insurance agents and brokers using Enhanced Direct Enrollment systems.
When the marketplace told them to submit proof of identity, citizenship, and income, they used common off-the-shelf software and materials to create counterfeit documents and sent them in to test the system’s controls.
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