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A North Carolina man is facing multiple felony charges after receiving insurance benefits from a fraudulent claim filed with Progressive Insurance Company.
Special agents with the North Carolina Department of Insurance’s Criminal Investigations Division say Shahzeb Khan, 29, of 3512 Langdale Dr., High Point in Guilford County, tried to pass off pre-existing damage to his vehicle, claiming it was caused by a Sept. 30, 2024 collision.
According to the arrest warrant, the offense occurred on Oct. 3, 2024. Khan was charged with one count of insurance fraud and attempting to obtain property by false pretense, both felonies.
“Insurance fraud hits consumers in the wallet,” North Carolina Insurance Commissioner Mike Causey said. “Approximately 20 cents of every insurance premium dollar goes to covering the cost of fraud. I’m fighting this by aggressively pursuing and prosecuting insurance fraud in North Carolina.”
Khan was released from custody by Guilford County officials under a $2,500 unsecured bond with an order to appear in district court on March 17.
Meanwhile, data compiled by the Business Research Company shows the insurance fraud detection market size has grown exponentially in recent years, rising from $7.5 billion in 2024 to $9.13 billion in 2025 at a compound annual growth rate (CAGR) of 21.6%.
According to the report, the growth can be attributed to rising instances of insurance fraud, complexity of fraud schemes, regulatory compliance requirements, customer demand for security, globalization of insurance markets.
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