GAO: Uh, has no real way to detect fraud

So, you already know that Obamacare is a mess. High premiums, technical problems with the exchanges, and miscalculated subsides are what comes up in honest discussions about the president’s signature domestic achievement. Guy has written about this train wreck extensively herehereherehere and here. Now, we have reports from the Government Accountability Office that has no mechanisms to “detect fraud,” as phony applicants arranged by GAO investigators were reenrolled in 2015 with larger subsidies for their premiums (via AP):

Phony applicants that investigators signed up last year under President Barack Obama’s health care law got automatically re-enrolled for 2015. Some were rewarded with even bigger taxpayer subsidies for their insurance premiums, a congressional probe has found. The nonpartisan Government Accountability Office says 11 counterfeit characters that its investigators created last year were automatically re-enrolled by In Obama’s terms, they got to keep the coverage they had.

Six of those later were flagged and sent termination notices. But GAO said it was able to get five of them reinstated, by calling’s consumer service center. The five even got their monthly subsidies bumped up a bit, although GAO did not ask for it. The case of the sixth fake enrollee was under review. does not appear to be set up to detect fraud, GAO audits and investigations chief Seto Bagdoyan said in prepared testimony for a Senate Finance Committee hearing Thursday. A copy was provided to The Associated Press.’s document-processing contractor “is not required to seek to detect fraud,” said Bagdoyan. “The contractor personnel involved in the document-verification process are not trained as fraud experts and do not perform antifraud duties.”


Although the administration has terminated coverage for more than 200,000 people who could not prove their citizenship or legal immigrant status, and some 300,000 have had their subsidies changed because of discrepancies over reported income, GAO’s bogus beneficiaries largely evaded that dragnet.

And the show goes on to everyone’s detriment.