HARRISBURG – Legislation has been introduced by Sen. Tracy Pennycuick of Berks & Montgomery Counties to address improper enrollment, waste, and fraud in PA’s Health Insurance Exchange called Pennie. Senate Bill 1439 enhances fraud identification within Pennie by requiring documentation for enrollment to include proof of residency or documented proof associated with the individual’s intent to reside in PA. It will also require the establishment of an Office of Fraud Prevention within Pennie to solely focus on identifying and combating fraud before it takes place. The PA Senate Banking & Insurance Committee reported that for insurers offering plans on Pennie, $19.6 million was paid out in fraudulent claims in 2025. Even more troubling, they identified about $163.6 million in fraudulent claims billed against insurers for 2026. A recent report alleged that PA had over 21,000 improper enrollments. Pennycuick says tackling fraud in our health insurance marketplace is critical to protecting consumers and taxpayers who pay for subsidized healthcare. The bill has strong bipartisan support.
SEN. TRACY PENNYCUICK