06/02/2026
It may be weird to see an ABA agency posting an article about billing fraud, but it is the behavior of companies like the ones mentioned in this article (i.e. The Perfect Child) that is giving ABA companies a black eye.
Instances like this and with what is going on in Minnesota with the mounting Somalian fraud WILL impact the future of funding for ABA. Big box companies are committing fraud at an alarming rate. Private equity backed ABA companies are running agencies like money mills with little regard for treatment or effective care. Some states have seen Medicaid freeze adding new providers.
As parents / providers / techs, there are red flags to look for when choosing an agency:
1. Company requires child to have 35+ hours of therapy per week, even if not medically necessary
2. Company pays techs an extremely high rate compared to other agencies in the area ($20 - 30 / hour)
3. BCBAs have caseloads exceeding 10 comprehensive clients
4. Company does not allow parents to observe therapy
5. Company frequently changes techs or BCBAs overseeing your child without notice
6. Company has 40+ clients in a space that really only accommodates 20.
7. Company does not provide superbills or EOBs for therapy
8. Parent notices services billed that were not performed
9. Company bills services under the parent instead of the company
10. Company does not provide documentation of services or service notes when requested
11. Company website does not have owner, director, or managers of that specific site listed to contact
12. Company takes days or weeks to respond to your inquiries or complaints
13. Company hires direct staff as independent contractors instead of employees
14. Company does review a Benefits Check with you prior to starting services (i.e. reviewing what your personal cost would likely be based on your insurance)
15. Company charges you for "daycare" services when you are late
16. Your child comes home with injuries that are undocumented and unexplained by the agency
I am not telling you to avoid big name ABA agencies, but please be cautious when choosing an agency. Locally run organizations in New Orleans like Within Reach, The Thompson Center, Deep Roots, and Behavior Bee (to name a few) are run privately by locals with backgrounds in ABA and a history of ethical care. While there are many others providing a similar level of ethical care, there are just as many private equity companies attempting to stuff their centers with children and run up hours as high as they can. Look for these red flags mentioned above before making a decision. Report shady behavior to the BACB or the LBAB or even the police, if you suspect fraudulent behavior. Many, if not most, children in the GNO area are covered by medicaid, and you should not be receiving astronomical bills for services.
Insurers warn of fraud and exorbitant charges from providers, including one that stuck a parent with a surprise $911,400 bill.
