Awards & Associations

Insurance Companies Betraying their Consumers to Law Enforcement

September 18, 2019

Insurance companies may be intimidating in many situations. They are large companies with employees trained to settle cases as quickly as possible, in hopes that clients don’t hire an attorney to advocate for them. Many insurance companies are now partnering law enforcement in pursuing individuals they suspect are committing insurance fraud, a serious criminal offense that could result in imprisonment. The insurance companies are betraying their consumers to law enforcement, but a fraud lawyer may be able to protect you from these wrongful allegations.

This issue was recently brought to light when a Pittsburgh man endured this type of situation. He reported his Ford pickup truck to be stolen and was accordingly pleased when police officers came to his home. He was taken aback when the officers accused him of faking the theft and filing a false claim. His auto insurer, Erie Insurance, was the turned him into the police. The company he thought was supposed to help and protect him when his car was stolen shattered his trust by encouraging the police to charge him with insurance fraud instead of paying out on the policy they held. The man, a Vietnam veteran living on disability benefits, felt targeted and caught off guard by these accusations carrying a potential consequence of up to 7 years in prison.

Insured customers pay their insurance companies to protect them, but when they seem to be working with law enforcement to convict law-abiding customers, they could lose their customers’ trust. While this unethical practice may boost insurance company profits, it is nothing less than intimidation of their own customer.

According to Buzzfeed News, the Vice President of Erie Insurance, David Rioux, was unable to comment on any specific cases but urges that the company follows all laws and policies when reporting fraudulent claims. The investigators also looked at a number of other cases, finding that in a concerning amount of cases, insurance companies dropped the charges due to misleading evidence that initially led to the charges.

If you believe you have been wrongfully charged with insurance fraud, reach out to Saint & Associates today to schedule a consultation today. Don’t let an insurance company bully and intimidate you if you have lawfully filed an insurance claim. An aggressive and experienced Oklahoma lawyer from Saint & Associates can represent you today.