Insurance Fraud

Insurance fraud is any act committed with the intent to obtain a fraudulent outcome from an insurance process. This may occur when a claimant attempts to obtain some benefit or advantage to which they are not otherwise entitled, or when an insurer knowingly denies some benefit that is due. According to the United States Federal Bureau of Investigation (FBI) the most common schemes include: Premium Diversion, Fee Churning, Asset Diversion, and Workers Compensation Fraud. The perpetrators in these schemes can be both insurance company employees and claimants. False insurance claims are insurance claims filed with the intent to defraud an insurance provider.

Insurance fraud has existed since the beginning of insurance as a commercial enterprise. Fraudulent claims account for a significant portion of all claims received by insurers, and cost many billions of dollars annually. According to the Coalition Against Insurance Fraud, it is estimated that insurance fraud costs Americans $875 per person each year. The financial loss is estimated at $80 billion annually. Types of insurance fraud are diverse, and occur in all areas of insurance. Insurance crimes also range in severity, from slightly exaggerating claims to deliberately causing accidents or damage. Fraudulent activities affect the lives of innocent people, both directly through accidental or intentional injury or damage, and indirectly as these crimes cause insurance premiums to be higher. Insurance fraud poses a significant problem, and governments and other organizations make efforts to deter such activities.

Insurance fraud is a felony which is punishable by five to seven years in prison or more. This means that if you are convicted of insurance fraud, you will likely spend time in jail or prison, you will have to pay fines, and it is almost guaranteed that you will be sued by the insurance company or individuals involved in the case.

If you are suing a convicted criminal for damages resulting from insurance fraud, you should hire a civil lawyer or attorney. If the person was not convicted and you want to sue for damages, you should still hire a civil lawyer or attorney.

If you have been accused of insurance fraud, whether you are guilty or not, you should always hire criminal lawyer or attorney. Criminal lawyers and attorneys represent individuals who have been charged with crimes by arguing their cases in courts of law. A criminal lawyer or attorney will typically have a private practice concentrating on criminal law.

Thomas Ambrosio, an experienced criminal lawyer, retained after your arrest for insurance fraud will help you prepare the best defense possible. Thomas Ambrosio will walk you through every step of the process, guiding you along the way. Contact our office today for a consultation.