Fraud of the Week

Auto fraud – California

Amount – Unknown

A woman has pled guilty to two counts of felony auto insurance fraud for buying insurance after an accident occurred. She was involved in a car wreck in February 2020 but purchased an insurance policy in March, several weeks after the accident. She filed a claim stating the accident was in early March, not February; the carrier denied the claim. The woman then bought insurance through another carrier and filed a claim for the same damages. The second carrier investigated the claim and discovered the woman had lied about the date of the accident. She is scheduled to be sentenced in May and faces up to five years in addition to a fine of either $50,000 maximum or twice the amount of the fraud, whichever is greater.