WASHINGTON, D.C. — U.S. financial institutions flagged about $17.5 billion in activity potentially tied to health care fraud over a one-year period, giving federal investigators a broad view of suspected schemes involving Medicare, Medicaid and private insurance, according to a new Treasury Department analysis.
The Financial Crimes Enforcement Network analyzed 5,702 Bank Secrecy Act reports filed between March 1, 2025, and Feb. 28, 2026. The reports identify suspicious financial activity but do not by themselves establish that fraud occurred.
Depository institutions generated about 89% of the reports analyzed and accounted for nearly 87% of the dollar value of suspicious activity identified in the dataset.
Potentially fraudulent payments frequently involved a combination of federal and state health programs and private insurers, according to FinCEN. Medicare payments often originated from Medicare Administrative Contractors, while Medicaid payments came from state-level administrators.
Home health care businesses represented the largest category of suspected fraudulent providers, appearing in 20% of the health care fraud-related reports.
Hospice companies, mental and behavioral health and addiction treatment providers, medical equipment suppliers and adult or child daycares were also frequently identified.
The activity was overwhelmingly connected to subjects with U.S. addresses. Filers identified subjects in every state as well as Puerto Rico, Guam and the U.S. Virgin Islands.
About 1.5% of roughly 13,000 subject addresses in the dataset were foreign.
FinCEN found suspected fraud proceeds were sometimes moved through money-laundering transactions before being spent. In other cases, funds that did not appear to undergo complex transfers were used for personal expenses and luxury purchases or sent internationally.
A smaller share of reports identified activity potentially connected to large fraud rings, criminal networks or foreign entities.
“By identifying and reporting this suspicious activity, financial institutions have given law enforcement critical insight into the illicit actors who deliberately exploit U.S. health care benefits programs,” Treasury Secretary Scott Bessent stated.
Treasury is also working with the White House Task Force to Eliminate Fraud to encourage whistleblowers to provide information involving suspected fraud, money laundering, sanctions violations and tax-law violations.
The analysis is FinCEN’s second health care fraud-related publication this year. The agency issued an advisory in March addressing schemes targeting Medicare, Medicaid and other federal and state health care benefit programs.
Bank Secrecy Act reports filed after that advisory were outside the period covered by the latest analysis, though FinCEN found subsequent filings reflected similar typologies and trends.
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