Insurance Fraud

Insurance fraud involves deliberately deceiving an insurance company to gain an unfair advantage or benefit. This can happen when a person making a claim attempts to receive money they aren’t entitled to, or when an insurance company improperly denies a legitimate claim. Some common examples of these fraudulent activities include workers’ compensation fraud, asset diversion, premium diversion, and fee churning. If you are accused of any of these actions, seeking legal advice is a critical step.

Broad Categorization

Insurance fraud is generally separated into two main categories: hard fraud and soft fraud. Understanding the difference is key to recognizing the severity of these offenses.

Hard Fraud

This form of fraud occurs when someone deliberately fabricates a loss, such as staging a car accident, committing arson, faking a theft, or feigning an injury. The primary goal is to unlawfully collect a payout from an insurance company for an event that never actually happened or was intentionally caused. A Wheeling criminal lawyer can provide guidance if you are facing such allegations.

Soft Fraud

Often seen as less severe, soft fraud happens when an individual exaggerates a legitimate claim. For instance, a person might overstate the value of items stolen during a burglary. While some might consider these small deceptions to be harmless, they are still considered a crime. These acts contribute to higher insurance premiums for everyone, making it a serious issue.

It’s crucial to understand the severe consequences of collecting insurance payments you are not legally entitled to. Insurance companies are vigilant and will rigorously pursue and prosecute suspected fraud, which can lead to federal charges. In these situations, consulting with a Wheeling DUI attorney promptly is essential to safeguard your rights and navigate the complexities of the legal system.

What is Federal Insurance Fraud?

Federal insurance fraud consists of intentional and deceptive acts designed to mislead insurance companies for financial gain. Although there isn’t one single federal law that only covers insurance fraud, prosecutors in Wheeling can bring charges under broader statutes like the RICO (Racketeer Influenced and Corrupt Organizations) Act, as well as wire fraud and mail fraud laws. A Wheeling criminal lawyer can help defendants understand the full scope of the charges and available defenses.

Engaging in insurance fraud can include the following actions:

• Providing an insurer with statements you know are false or misleading about a claim in order to defraud the company.
• Submitting falsified or altered documents to an insurance company to manipulate motor vehicle insurance rates or actions.
• Conspiring with or assisting others in deceiving insurance companies by providing false information.
• Filing fraudulent insurance claims using someone else’s insurance identification card.
• Hiring other people to help commit fraud against an insurance provider.

For example, if a tree falls on your house and you claim that valuable items were destroyed when they were not, you could face charges and be convicted of insurance fraud. In such situations, a knowledgeable Wheeling DUI attorney can evaluate whether evidence truly supports the fraud allegations or if the claim was simply misunderstood or misrepresented by the insurer.

The Federal Bureau of Investigation (FBI) actively investigates several schemes related to insurance fraud, such as:

• Asset diversion: The theft of company assets during the merger or acquisition of insurance companies.
• Fee churning: A scheme where intermediaries generate excessive commissions through complex reinsurance agreements.
• Premium diversion: The embezzlement of insurance premiums paid by customers.
• Disaster relief fraud: Filing inflated or entirely false insurance claims after a natural disaster, like a hurricane.

In addition to facing federal criminal charges, individuals involved in insurance fraud may also face a civil lawsuit filed by the insurance company seeking to recover its losses. Insurance fraud is often classified as a third-degree felony, which carries the risk of significant fines and lengthy prison sentences. A Wheeling criminal lawyer can help you understand these charges.

Ways in Which a Wheeling Insurance Fraud Attorney Can Help

Being charged with insurance fraud can be an overwhelming experience, as you face determined federal prosecutors and strict laws. At Logue Law Group, our skilled criminal lawyers in Wheeling are prepared to be your advocate. Our primary objective is to make sure you understand all your available options and work towards achieving the best possible outcome for your situation.

With an experienced Wheeling DUI attorney from our team representing you, you can expect comprehensive support for cases involving insurance fraud and scams. We are committed to defending your rights under various consumer protection laws and will diligently work to recover any losses you may have incurred.

We recognize how serious an insurance fraud charge is, especially considering the major financial implications. Whether it’s you or a loved one dealing with these accusations, our dedicated criminal lawyer in Wheeling is here to guide you through every step of the legal process. From clarifying potential defenses to helping you exercise your rights, we will provide support from start to finish.

Do not hesitate to schedule a complimentary initial consultation with us. Learn how our experienced Wheeling DUI attorney in Wheeling can make a significant difference in your case. Contact us online or call us today at 844.PITT.DUI.