Senator Amy Klobuchar

Working for the People of Minnesota

Press Contact

Joel Gross
Press Secretary
(202) 224-3244

News Releases

Klobuchar: Medicare Fraud Costing Americans Billions and Undermining Quality Health Care

Klobuchar Questions Officials on Ways to Reduce Fraud and Save Taxpayer Money

March 3, 2010

Washington, D.C. – Today U.S. Senator Amy Klobuchar questioned officials on the best ways to prevent Medicare fraud and improve oversight of the Medicare Prescription Drug program.  At a hearing of the Senate Homeland Security Subcommittee on Federal Financial Management, Government Information, Federal Services, and International Security, Klobuchar highlighted the significant cost of this fraud to the American taxpayer and urged officials to more aggressively investigate and prosecute Medicare fraud.

“When we have as much as 20 percent of total Medicare spending lost to fraud each year – we have a major problem,” said Klobuchar.  “We must stop the criminals that scheme the system and rob the American taxpayers of money that should be used to provide health care to those that need it most – our seniors and most vulnerable citizens.”   

As a result of her leadership on Medicare fraud reduction, subcommittee chairman Senator Tom Carper (D-DE) invited Klobuchar, who does not sit on the subcommittee, to question officials on efforts to combat fraud in Medicare Part D.  Klobuchar highlighted the vulnerabilities of the current Medicare/Medicaid payment system and pressed officials on fraud prevention and enforcement methods.      

Klobuchar is the author of the IMPROVE Act, a payment reform bill that would require direct depositing of all Medicare and Medicaid payments made to providers.  Regulations currently call for direct deposits, but are not uniformly enforced.  The IMPROVE Act is endorsed by the AARP, the National Association of District Attorneys, the American Bankers Association, the Minnesota Bankers Association, the Credit Union National Association and the Minnesota Credit Union Network. 

Klobuchar is also a cosponsor of the Health Care Fraud Enforcement Act of 2009.  The legislation would strengthen the government’s capacity to investigate and prosecute waste, fraud and abuse in both government and private health insurance.

The Medicare prescription drug program – also known as Medicare Part D – is in its fifth year of operation providing about 90 percent of Medicare beneficiaries with some form of drug coverage.  Medicare is on the Government Accountability Office’s (GAO) list of government programs at “high risk” for waste, fraud and abuse and the U.S. Attorney General estimates that Medicare fraud costs taxpayers $60 billion dollars each year.

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Senator Klobuchar’s Offices

302 Hart Senate Office Building
Washington, DC 20510
Main Line: 202-224-3244
Main Fax: 202-228-2186
Toll Free: 1-888-224-9043

1200 Washington Avenue South, Suite 250
Minneapolis, MN 55415
Main Line: 612-727-5220
Main Fax: 612-727-5223
Toll Free: 1-888-224-9043

1134 7th Street NW
Rochester, MN 55901
Main Line: 507-288-5321
Fax: 507-288-2922

121 4th Street South
Moorhead, MN 56560
Main Line: 218-287-2219
Fax: 218-287-2930

Olcott Plaza, Suite 105
820 9th Street North
Virginia, MN 55792
Main Line: 218-741-9690
Fax: 218-741-3692