[Carry_Okie]

How hard would it be to use simple computer programs to monitor each “provider number” for prescription activity outside normal expectations for a given medical practice or specialty, then focus on the bad apples?

I would bet that every insurance company selling healthcare coverage already uses such software. In fact, it's probably available off-the-shelf.

[Chewbarkah]

That is my assumption also (except the software is probably all custom-written). I have tried unsuccessfully to find information about fraud costs and rates in private health insurance. If anyone knows of a source, please advise. It would seem to be a critical illustration of why government should not be in the insurance, or any, business.