Texas Mutual Insurance Company recently reported that a Travis County district court sentenced Derrick Crockrom of Houston on workers compensation fraud-related charges.
Crockrom was sentenced to 15 days in jail and two years’ deferred adjudication. He was also ordered to complete 50 hours of community service. Crockrom reported a job-related injury while working as a driver for Best Delivery Systems, Inc. of Houston. He claimed he was unable to work as a result of the injury, and Texas Mutual began paying income benefits to him.(WCxKit)
Meanwhile, Texas Mutual uncovered evidence Crockrom was working as a broker for a Houston financial company while at the same time receiving income benefits.
Investigators call this type of scam double-dipping because the claimant collects benefits for being too injured to work when he or she is, in fact, gainfully employed. Texas law requires claimants to contact their workers’ comp carrier when they return to work. (WCxKit)
Left unchecked, double-dipping and other workers comp fraud can lead to higher premiums for all Texas employers.
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, healthcare, printing/publishing, pharmaceuticals, retail, hospitality and manufacturing. See www.LowerWC.com for more information. Contact: [email protected].
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WORK COMP CALCULATOR: www.LowerWC.com/calculator.php
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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.
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