Fraud Moves to the Suburbs
NU Online News Service, August 12, 2:50 p.m. EDT?Insurance fraud rings long-established in New York City are now targeting that city's suburbs for their scams, according to the Palos Hills, Ill.-based National Insurance Crime Bureau.
For example, in Long Island's Suffolk County, NICB launched an investigation into a series of suspicious auto accident claims, all of which involved drivers from New York City, Robert M. Bryant, NICB's president and CEO, said in a statement.
Using new computer technology and sophisticated databases to review the medical bills generated by the Suffolk County accident claimants, the NICB identified numerous New York City-based medical facilities, physicians, therapists, acupuncturists, transport companies and equipment suppliers.
"Each of the medical providers was under suspicion for fraudulent practices by NICB's New York medical fraud task force," said Mr. Bryant. NICB assembled a detailed chart which outlined the inter-locking relationships between medical providers, billing agents and others involved in the scams.
"The NICB alerted the Suffolk County task force with its findings, uncovering evidence of a scheme to defraud insurers by submitting fraudulent bills for treatment of bogus injuries," Mr. Bryant added. The individuals involved were subsequently charged with insurance fraud.
"Organized insurance crime is no longer simply a New York City phenomenon," Mr. Bryant pointed out. "Insurance criminals are seeking to loot New York's auto insurance system wherever they can. The result is higher insurance premiums for all."
Want to continue reading?
Become a Free PropertyCasualty360 Digital Reader
Your access to unlimited PropertyCasualty360 content isn’t changing.
Once you are an ALM digital member, you’ll receive:
- Breaking insurance news and analysis, on-site and via our newsletters and custom alerts
- Weekly Insurance Speak podcast featuring exclusive interviews with industry leaders
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical converage of the employee benefits and financial advisory markets on our other ALM sites, BenefitsPRO and ThinkAdvisor
Already have an account? Sign In Now
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
