Insurance Fraud…..DON’T DO IT!

Insurance Fraud…..DON’T DO IT! Listen to this crazy story!

You hear the stories of people who will do anything to make money and unfortunately there are people who resort to insurance fraud to make a quick buck. Well, I'm here to tell you, don’t do it! Although 1 out of 10 unfortunately do get away without prosecution, they eventually get caught. If an insurance company suspects fraud in any way, they legally have to report it to the state. Once it is in the state’s hands, they will do their own investigation and usually prosecute to the maximum penalty. We recently spoke with one of our insurance adjusters who had a crazy insurance fraud story. One of the agents received a call from their insured who wanted to put in a claim. Their home had been robbed. The insured was out of town and they got a notification that the door had been opened by their alarm system. The police were immediately called to the residence. The door had been opened, but not broken. The police report showed the home seemed to be in order and did not notice anything missing. Odd, but not out of the realm of possibility. The insured called the claims adjuster and pointed out all the flat screen TVs in the home were stolen. When inspected there were no holes in the walls and the TVs had been carefully removed. The homeowners said they would see if anything else was missing and let the agent know. The next day, the agent received a list a mile long of items missing from the home, many personal items such as clothes and hair products, a guitar, $200 tool set, apple watches and many more items. Also included with the list was receipts for every item going three years back. The adjuster and agent started to see a lot of red flags and looked back into their file. Three years prior the insured had put in a claim and a lot of the same items were reported missing. Another employee at the agency also happened to see the insured selling a lot of the same items on Facebook rummage sale sites. The insurance company froze the claim immediately and reported suspected fraud to the state. A much more thorough investigation is being done now. The insured just had to make a recorded statement under oath. Once determined, the state will prosecute as they see fit. We are very curious to hear how this one is going to play out! This day in age, the technology that is available to investigate these types of fraud cases is above none other. Case in point, its never a good idea to lie to your insurance company.