Palomar Health

CA 2026 Behavioral Health
OIG Healthcare Fraud
Penalty
$3.1 million

Outcome

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Details

Palomar Health — $3,084,315 Fine

Outcome: Official websites use .gov A .gov website belongs to an official government organization in the United States.

Official websites use .gov A .gov website belongs to an official government organization in the United States.

Secure .gov websites use HTTPS A lock ( Lock A locked padlock ) or https:// means you’ve safely connected to the .gov website. Share sensitive information only on official, secure websites.

After it self-disclosed conduct to OIG, Palomar Health, California, agreed to pay $3,084,315.48 for allegedly violating the Civil Monetary Penalties Law. OIG alleged that Palomar Health submitted claims to Federal health care programs through its Intensive Outpatient Psychiatric program for outpatient therapy services that lacked medical necessity and were not supported by the medical records.

HHS Office of Inspector General

How Crucible Prevents This

Crucible's compliance monitoring controls for Behavioral Health / SUD Treatment would have detected the patterns underlying this violation through automated screening, documentation enforcement, and real-time alert escalation.

Source: Palomar Health Agreed to Pay $3 Million for Allegedly Violating the Civil Monetary Penalties Law by Submitting Claims for Therapy Services that Lacked Medical Necessity

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