Sunday, October 13, 2013

Social Security Disability Fraud

I've written about fraud in the Social Security Disability (SSDI) program in my blogs:  Social Security Disability Rolls Soar and 1.4 Million People on Welfare for "Mood Disorders"

It's become a stealth "welfare" program as costs and enrollment have soared in recent years--not only under Obama but Bush as well.  My understanding is that, with SSDI, you need not have paid into the SS system to get benefits and once in, your benefits basically continue for life.  Now comes a 60 Minutes expose talking about the Social Security Disability program.

From Mish's Global Economics Analysis and an interview with Tom Coburn:
Kroft interviews senator Tom Coburn of Oklahoma.  Coburn selected cases at random and found 25% of the cases were fraudulent and another 20% were "highly questionable". The "system is being gamed pretty big right now", said Coburn. "You need look no further than disability lawyers trolling for new clients."
Here's the 60 Minutes video (13:40 minutes):
(alternative link:

It's a good video and makes good points substantiating the claims of fraud that I've mentioned in my blogs above.

The SSDI program is a good one which is exactly why the fraud should be addressed (but won't).   I'll bet you the fraud in SSDI is north of 25%  just like Medicaid and Medicare.  Since spending on these programs is $1.5 Trillion per annum, then the total fraud is about $400 billion or nearly 60% of our current deficit.

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