Behind Closed Doors: How Health Insurance Claim Investigations Are Intruding On Policyholders’ Privacy

Paisa Vaisa podcast host Anupam Gupta recently shared an unsavoury incident related to a health insurance claim.

Gupta posted on LinkedIn. “Have you recently made a health insurance claim? Were you asked to give your Google Timeline data? I have! I am shocked that health insurance companies now hire investigation agencies to verify reimbursement claims.” 

He said persons claiming to be private investigators landed at his doorstep without prior investigation and asked to see his Google Timeline data as proof of his hospital stay.

He said that it made him reconsider whether having insurance is actually worth it. 

According to Gupta, the investigators demanded the following. To start with, they asked for all the documents submitted for the claim. When he told them he had submitted all documents to the insurance company, he was asked for the copies. He had one set and they took the copies.

They also asked Gupta to provide Google timeline data to prove his stay in the nursing home was genuine, as stated in the claim, which Gupta refused to share. He was also asked to submit photos of his house and his credit card statement as proof of payment.

During the hour-long process he was asked for excessive documentation and even made to sign a paper for undisclosed documents. The investigators claimed it was a standard procedure and even showed examples of compliance of other policyholders.

Gupta was not only hassled but frustrated with the entire experience. He said he is not naming the insurance company, as such cases are prevalent across the industry.

This incident raises serious questions as policyholders’ right to privacy.

While faking documents, including health insurance documents, is common, can insurance companies resort to such measures to verify a claim? Such a method may be intruding on a policyholder’s privacy.

Health insurance claims getting rejected is increasingly common. While insurance is supposed to alleviate the financial burden, it often leaves one feeling more helpless. The rules regarding what an insurance company can or cannot do should be more clearly laid out to avoid such instances.