“Insurance fraud takes many forms from those who collect workers’ compensation benefits even though they are able to work, to people who stage accidents to collect insurance money, to unscrupulous health care providers who bill twice for the same service,” Frank Henry, special investigations manager for One Beacon Insurance, said. “Many people who would never think of robbing a bank, stealing a car or burglarizing a home believe insurance fraud is a victimless crime. But, we are all victims of insurance fraud, as it costs everyone in higher premiums and higher prices on goods and services. Insurance fraud takes money out of the pockets of everyone.”
With approximately 25 percent of insurance premium dollars going toward the effects of fraud, the New York Alliance Against Insurance Fraud urges everyone who suspects insurance fraud is being committed to contact the alliance at a designated 800 number.
“Most people want to do the right thing and report insurance fraud, but the problem is that they do not know who to call,” Sam Miller, an account executive with Barry Group, Inc., said. “This telephone number and website are easy to remember, and all information received will be kept confidential. All the alliance asks is that people provide them the details of the expected fraud, and they will investigate it from there.”
Henry said millions of people are victimized by insurance fraud without even knowing it.
“People’s health and lives are endangered by unscrupulous individuals who sell nonexistent health policies or perform quack medical care to illegally inflate health insurance claims,” he said. “Staged auto accidents and arson can cause innocent people to be killed or seriously injured. Workers’ compensation costs are encouraging businesses to relocate out of state. Insurance fraud is a crime, a crime punishable by law.”