Insurance Fraud
Insurance fraud in Colorado involves intentionally deceiving an insurance company to obtain unauthorized benefits or financial gains. It encompasses a variety of fraudulent activities, affecting multiple types of insurance, such as auto, health, homeowners, or life insurance.
Denver Insurance Fraud Defense Attorney
Insurance fraud can be a tough rap to beat. If you’ve been charged with insurance fraud then you’re either facing a civil-backed suit from a large insurance company or the District Attorney’s office believes they have evidence implicating you in fraudulent activity. If you’ve been unfortunate enough to see your business burn down, you may expect suspicion, rather than help, from your local law enforcement.
Fighting these charges requires a strong, experienced attorney. The Law Office of Matthew Martin will provide full-service representation to those convicted of insurance fraud.
Call (303) 725-0017 to discuss your options today.
The Law Office of Matthew A. Martin, P.C. accepts traffic cases throughout the Denver area and surrounding counties such as Douglas County, Jefferson County, Boulder County, Broomfield County, and Adams County.
- What is Insurance Fraud?
- Penalties Associated with Insurance Fraud
- Common Defenses for Insurance Fraud
- Additional Resources
- Hire an Insurance Fraud Defense Attorney
Understanding Insurance Fraud
According to Colorado Revised Statute §18-5-211, insurance fraud is defined as intentionally providing false information, concealing information, or engaging in deceptive practices to obtain benefits, lower insurance premiums, or avoid premium payments.
Examples
Examples of insurance fraud include:
- False Claims: Submitting a claim for damage or loss that did not occur.
- Staged Accidents: Orchestrating accidents to collect insurance money.
- Inflated Claims: Exaggerating the extent or value of damage to increase the payout.
- Policy Misrepresentation: Lying on an insurance application, like understating risks or omitting relevant information.
- Fraudulent Billing: Overcharging or billing for services not rendered, commonly seen in health insurance fraud.
- Arson: Setting fire to a property to collect insurance money.
Penalties
Insurance fraud in Colorado can carry serious penalties, which vary based on the severity and type of fraud:
- Felony Charges: Depending on the amount of financial loss, insurance fraud can be classified from a Class 5 to a Class 3 felony, with the most severe cases involving significant monetary loss or endangerment.
- Prison Time: Ranges from 1 to 12 years depending on the class of felony.
- Fines: From $1,000 to $750,000, depending on the severity of the fraud.
- Restitution: Offenders may be required to pay back the defrauded amount.
- Community Service or Probation: As part of a sentencing agreement.
Common Defenses
Common defenses against insurance fraud include:
- Lack of Intent: Arguing that there was no intent to deceive or defraud.
- Insufficient Evidence: Asserting that there is not enough evidence to prove fraudulent activity.
- Legitimate Claims: Proving that the claim was legitimate and not exaggerated or fabricated. In many cases, insurance companies will argue that a legitimate claim is fraud because they disagree with the damages. Car companies like Allstate and State Farm are notorious for refusing to pay out and instead filing insurance fraud cases.
- Alibi or Lack of Participation: Demonstrating that the accused wasn’t involved in the fraudulent activity or had a valid alibi. This may happen in cases where a hospital is responsible for overcharging and not telling the insured person.
Additional Resources
Colorado Division of Insurance – Provides information on insurance regulations and how to report suspected fraud.
National Insurance Crime Bureau (NICB) – The linked article discusses the cost of combatting insurance fraud across the state.
Hire an Insurance Fraud Defense Attorney in Denver, Colorado
Call (303) 725-0017 to discuss your options today.
The Law Office of Matthew A. Martin, P.C. accepts traffic cases throughout the Denver area and surrounding counties such as Douglas County, Jefferson County, Boulder County, Broomfield County, and Adams County.