Persons who perpetrate fraud are certainly persistent as the New York State Insurance Department discovered recently. A man, convicted of insurance fraud in 2003 was arrested on the same charge this month.
Investigators found he falsified a medical examination to get full workers’ compensation benefits when he may have been entitled only to partial benefits.
The NYSID reported collected $6,600 in benefits he was not entitled to receive. He started collecting the benefits after suffering a back injury in a traffic accident in 2007, while working as a trash collector for a private garbage collection company.
Insurance Department Frauds Bureau investigators did not dispute the injury, but said he failed to disclose a similar reported injury occurring earlier and leading to his arrest in 2003. He would not have received full wage replacement benefits had he disclosed the earlier injury.
In 2003, the subject pleaded guilty in to charges of insurance fraud and workers’ comp fraud for exaggerating the extent of a disability caused when he suffered an earlier work-related injury. He was sentenced to pay $8,400 in restitution, serve 60 days in jail and serve five years’ probation. (workersxzcompxzkit)
The man now faces charges of third degree insurance fraud, third degree grand larceny and committing a fraudulent practice. If convicted of the new charges, the worker may serve up to four years in jail.
Author Robert Elliott, executive vice president, Amaxx Risks Solutions, Inc. has worked successfully for 20 years with many industries to reduce Workers' Compensation costs, including airlines, health care, manufacturing, printing/publishing, pharmaceuticals, retail, hospitality and manufacturing. He can be contacted at: Robert_Elliott@ReduceYourWorkersComp.com or 860-553-6604.
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Do not use this information without independent verification. All state laws vary. You should consult with your insurance broker or agent about workers' comp issues.
