Insurance Fraud
Insurance fraud involves deceptive acts aimed at manipulating the insurance process, such as a claimant seeking undeserved benefits or an insurer wrongfully denying a legitimate claim. Common in auto and medical insurance, fraudulent claims cost insurers significant amounts annually. High-level, sophisticated fraud resulting in substantial financial loss can lead to jail sentences of up to 14 years.
Insurance fraud is any act that is committed to defraud an insurance process. This can occur when a claimant attempts to claim a benefit they are not entitled to or when an insurer denies a benefit that they know is due. Insurance fraud is quite common in auto and medical insurance.
Fraudulent claims account for a significant portion of all claims received by insurers and cost an excessive amount of money annually. Insurance fraud is very diverse and occurs in all areas of insurance.
Insurance frauds that are committed with a high level of sophistication and that result in a significant financial loss will result in a jail sentence up to 14 years.