FinCEN Advisory on Healthcare Fraud Schemes
On March 30th, FinCEN released an Advisory (FIN-2026-A001) urging …financial institutions to be vigilant in identifying and reporting suspicious transactions potentially related to health care fraud schemes targeting Medicare, Medicaid, and other Federal and state health care benefit programs.
The Advisory notes that healthcare-related fraud increased dramatically following the COVID-10 pandemic. Between 2020 and 2025, BSA reporting on health care fraud went up 330% and in 2025 alone there were 3,800 SARs filed with SAR field 34(g) “Healthcare/Public or Private Health” marked.
The Advisory also provides a few case studies as well as 24 red flags for this type of activity.
FinCEN requests that financial institutions reference this Advisory in SAR field 2 (Filing Institution Note to FinCEN) and the narrative by including the key term “HCF-2026-A001” and select, as applicable, SAR field 34(g) (Healthcare/Public or Private Health Insurance) and any other applicable check box.
Kevin discussed this Advisory during our April AML/CFT Membership Group meeting.
Published 2026/04/21
Kevin Edwards
Kevin brings years of experience and a unique perspective on regulatory matters to our clients. A self-proclaimed geek and accredited CRCM, Kevin is also a recovering attorney with experience as in-house counsel for a large regional bank and one of the leading national title insurance providers. For reasons unknown, Kevin decided to leave the safety and serenity of his desk job to seek fortune and glory as a wandering adventurer. Like a bank compliance version of Kwai Chang Caine, The Man with No Name or Don Quixote, he now travels the land seeking to help those in need and righting compliance wrongs, wherever he may find them. Kevin lives in Sioux Falls with his two children, who are surprisingly normal after having endured their father’s vivid imagination for their entire lives. He won’t admit to having any hobbies, because apparently “Regulations never sleep.” (While he does say this in his Batman voice, we’re pretty sure he’s joking.) From the looks of his Facebook page, he likes the outdoors and spending time with his large extended family (who seem like relatively normal people).