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Genetic Testing Scams and Medicare Fraud: Warning Signs Older Adults Should Know

Genetic testing scams are on the rise—and older adults are a prime target. What may seem like a free or low-risk health screening can quickly turn into Medicare fraud, unexpected bills, or identity theft.

Normally, a medical professional orders these screenings for use as part of a treatment plan. But some genetic testing is available to the public through third parties or the internet. This access has resulted in the rise of genetic testing fraud, which leaves people robbed of money and private information.

Genetic testing scams are costing Medicare billions

The reports don’t lie.

In 2019, the U.S. Department of Health and Human Services Office of Inspector General (HHS-OIG) released a Fraud Alert warning consumers about genetic testing scams.  The alert followed a large enforcement effort involving charges against 35 people accused of participating in fraudulent genetic testing and other schemes that caused $2.1 billion in losses.

That was just the beginning. In 2023, the Department of Justice (DOJ) announced that a scammer was sentenced to 27 years in prison for a fraudulent billing scheme that resulted in over $463 million in losses. And in 2025, the DOJ, HHS-OIG, and other enforcement partners also announced criminal charges against 324 defendants for their alleged participation in health care fraud schemes that resulted in $14.6 billion losses.

A 2026 HHS-OIG report showed that genetic tests represented 43% ($3.6 billion) of laboratory billing to Medicare in 2024. The bottom line: Genetic testing fraud continues to be a concern.

How genetic testing scams target older adults

While Medicare strictly limits coverage for genetic screening tests, it does cover  ones used to monitor cancer, heart health, and other medical conditions. Typically, Medicare covers genetic tests only when deemed medically necessary to diagnose, treat, or manage a specific, existing illness or symptom – and generally under Medicare Part B.

Unfortunately, a high-cost diagnostic test that can easily be marketed to the public is a bright, shiny object to the health care scammer. There are many reports that scammers are using “fear factor” messaging to vulnerable older adults anxious to diagnose existing health concerns and proactively identify future medical conditions. This, along with genuine interest in genetic tests and rising cancer rates, may help explain the rapid rise in genetic testing fraud across the nation.

Common types of genetic testing fraud

These scams can be advertised in several ways:

  • DNA screening/test
  • Hereditary cancer screening/test
  • Dementia screening/test
  • Pharmacogenetics (medication metabolization)
  • Parkinson’s screening/test
  • Cardiovascular genetic screening/test/disease kit

The Senior Medicare Patrol (SMP) continues to see many complaints regarding genetic test scams. The complaints range from complex kickback schemes or bribes involving providers or organizations to criminals contacting beneficiaries directly to steal their identity.

Where genetic testing scams commonly happen

Most states have reported these schemes, noting locations that these testing scams commonly take place, including:

  • health expos
  • senior centers and apartments
  • farmers markets
  • faith-based wellness events
  • malls

Some people are convinced to take expensive genetic tests that are not covered by Medicare; others have their Medicare number stolen without their knowledge and are billed for genetic tests they never received.

Common Medicare genetic testing fraud schemes

These scams range from medically unnecessary services to billing for services that were never provided. Providers or doctors may not even know that they are part of a fraud scheme.

One concerning trend is drug sensitivity testing, known as pharmacogenomics (occasionally termed “pharmacogenetics”). Pharmacogenomics is the testing of specific genes to gauge how patients will react to certain medications. Health care providers are interested in this type of service because it may reduce the risk of adverse drug events (ADEs).

Older adults, especially Medicare beneficiaries, are often targeted in pharmacogenomic schemes because they may have many medical conditions that require several prescription medications. 

Another common marketing trick is to use “free cancer screening.” People responding to free cancer screening advertisements may find that while the cancer-related genetic tests (known as CGx) are free to them (if covered), Medicare is billed for thousands of dollars in expensive, unnecessary tests.

How genetic testing scams lead to identify theft

Of grave concern is the ongoing problem of medical identity theft due to genetic testing fraud. Health expos, senior centers, and telemarketing calls are high areas of risk for older adults vulnerable to the social skills of con artists. Someone may easily be convinced to provide their health insurance and personally identifiable information with the enticing offer of “free” medical services. They may later find that Medicare or Medicaid was billed for thousands of dollars in medically unnecessary tests, or they may find that no testing was conducted and they have instead experienced identity theft.

How to report genetic testing fraud and protect your Medicare benefits

Criminals are unlawfully using the names and logos of legitimate companies that offer genetic testing to further convince people they’re being offered a real medical procedure or test as opposed to a scam. On occasion, a provider will call their local SMP because their professional billing information was stolen and used to bill false genetic tests.

Genetic testing scams and Medicare fraud continue to target older adults across the country, often through offers of “free” screenings or health tests. Protecting your Medicare number, reviewing your Medicare statements carefully, and being cautious about sharing personal information can help you avoid identity theft and unnecessary medical billing. If you suspect genetic testing fraud or Medicare abuse, contact your local Senior Medicare Patrol (SMP) for trusted support, education, and fraud reporting assistance. The SMP has created a variety of resources regarding genetic testing scams and other types of Medicare fraud.

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