Insurance Fraud

Insurance fraud happens when someone intentionally tricks an insurance process to get money or benefits they don’t deserve. This can occur when a person filing a claim tries to get perks they aren’t entitled to, or conversely, when an insurer knowingly denies benefits that should be paid out. Common schemes include things like workers’ compensation fraud, moving assets illegally (asset diversion), churning fees, or stealing premiums (premium diversion). If you have been charged with any of these offenses, seeking help from a legal professional is crucial.

Broad Categorization

Insurance fraud generally falls into two main buckets: hard fraud and soft fraud.

• Hard Fraud: This is a serious, deliberate plan. It involves inventing an accident, committing arson, theft, or faking an injury to unlawfully collect a payout from an insurance company.
• Soft Fraud: This is more common and often involves honest people telling “little white lies” to insurance companies. While some might think exaggerating a claim is harmless, soft fraud is actually a crime that drives up insurance costs for everyone else.

It is critical to think about the serious results of taking insurance payments you aren’t supposed to have. Insurance companies aggressively chase down these cases, which often leads to federal charges. In these situations, getting advice quickly from a Morgantown criminal lawyer is essential to protect your rights and help you navigate the legal system effectively.

What is Federal Insurance Fraud?

Federal Insurance Fraud refers to deceptive steps taken on purpose to fool insurance companies for personal financial gain. While there isn’t one single law that just covers “insurance fraud,” prosecutors can charge people under the RICO (Racketeer Influenced and Corrupt Organizations) Act, as well as laws related to mail and wire fraud.

Engaging in insurance fraud includes actions such as:

• Giving an insurer false or tricky statements about a specific claim on purpose to scam the company.
• Showing fake or misleading paperwork to an insurance company to mess with car insurance rates or actions.
• Plotting with or helping others scam insurance companies by giving false info.
• Filing false claims using someone else’s ID card.
• Hiring other people to commit fraud against an insurer.

For example, saying you lost expensive items during a house incident, like a tree falling on your roof, when you actually didn’t lose anything, can lead to serious charges and a conviction.

The Federal Bureau of Investigation (FBI) looks into many different types of insurance fraud, including:

• Asset diversion: Stealing assets when insurance companies merge or are bought out.
• Fee churning: Middlemen taking huge commissions through reinsurance deals.
• Premium diversion: Embezzling (stealing) insurance premiums.
• Disaster relief fraud: Filing puffed-up or fake claims after a major event like a hurricane.

On top of facing federal charges, you might also get sued in civil court by the insurance company. Insurance fraud charges are usually third-degree felonies, which means heavy fines and long jail time. If you find yourself in this situation, consulting a Morgantown DUI attorney is a smart move.

Ways in Which a Morgantown Insurance Fraud Attorney Can Help

Dealing with an insurance fraud charge can be scary. You are up against tough federal prosecutors and strict laws. However, at Mountaineer Law Group, serving Berks County and throughout Pennsylvania, we have skilled defense attorneys ready to stand up for you. Our goal is to make sure you know all your choices and get the best possible result for your situation.

With an experienced Morgantown criminal lawyer by your side, you can trust us to provide thorough representation for fraud and scam cases. We will fight to uphold your rights under consumer protection laws and work hard to recover any losses you might have suffered.

We know how serious insurance fraud is, especially because of the big money involved. Whether you or a family member is facing these charges, our dedicated team is here to guide you through the courts. From explaining your defenses to exercising your rights, we will be there every step of the way.

Don’t wait to use our free first consultation. Find out how an experienced Morgantown DUI attorney can make a difference in your case. Contact us online or call (304) 381-3656 today.