Imagine a vehicle reported as stolen is found burned, totaled, or damaged and the insurance company suspects fraud. Similar scenarios happen more often that you might think, leaving you facing a sizable financial loss, and maybe even criminal charges. So how does this happen and what can you do?
What insurance adjusters look for:
According to the National Association of Insurance Commissioners, more than 100 billion dollars of fraudulent insurance activity occurs each year. Deliberately submitted false or fraudulent claims are damaging to insurance companies and consumers alike, driving up the cost of premiums and subjecting legitimate claimants to intimidating investigations.
The insurance company will attempt to prove that you knowingly submitted a false or fraudulent claim for damages, loss or injury using a number of standard suspicious loss indicators that include the following:
- Many past claims or claims with similar circumstances. Insurance companies routinely search industry databases and use investigators to uncover relevant information, including police reports and past claims activity.
- Credit history. Financial problems like bad credit or the recent loss of a job can be considered red flags, depending on the circumstances of the claim.
- Recent altercations or civil disputes such as divorce. Insurance investigators will check public records, social media accounts, and talk to friends and family of the claimant to help determine a claimant's circumstances.
- New policies or recent coverage changes. Fraudulent claims often occur immediately after a new policy is taken out or existing coverage is increased.
- Preexisting damage and or injuries. Investigators will look for rust on vehicles to determine how old the damage is, and medical records related to injuries being claimed. Damage and injuries inconsistent with the loss or accident may indicate fraud.
- Injuries that are hard to prove. Not all injuries are visible to the eye, but generalized pain that is not clearly supported by x-rays or medical tests can look suspicious.
- Suspicious documentation of expenses. Bills for medical services that were never rendered or repairs that were never made may have been submitted by shady health professionals or repair shops without the knowledge of the claimant.
Get professional legal help.
Don't go it alone. If you have been arrested for submitting a false or fraudulent insurance claim in Temecula, Menifee, Murrieta, Wildomar, Lake Elsinore, Hemet, Perris, Corona or any other surrounding Riverside County city, it's important that you obtain the best legal representation from an experienced defense attorney. Contact our law office immediately to schedule a free and confidential consultation. We represent individuals in all the Riverside and San Diego County courts.