Auto Insurance Fraud
admin | Mar 16, 2011 | Comments 0
One of the unfortunate parts of the insurance industry is the possibility of fraud. Both in health care and car insurance fraud causes the innocent, law abiding policy holders to pay extra. Fraud can be committed in a variety of ways from placing a completely false claim to exaggerating the claim.
Recently in the Washington DC area a group of three were arrested for auto insurance fraud. Federal authorities had long thought the group was guilty of multiple fraudulent insurance claims and set up a sting operation to catch them in the act. Within the group was a personal injury lawyer, a chiropractor and a claim adjuster.
The three worked together by referring the person filing the false claim first to the lawyer, and then to the chiropractor for a health exam. The agent involved in the sting was told by the chiropractor that his spine was out of alignment so he would receive $8000 in insurance money. The three are now awaiting trial on conspiracy and fraud charges.
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