Great coverage of this important issue by the Insurance Journal and Howard Goldblatt. Just wanted to add one point about “new fraud laws.” It was reported that Minnesota is considering laws that would “limit access to police crash reports,” which are used by “fraud rings” to “identify crash victims” who are then “hound[ed]” into getting “bogus treatment at shady clinics aligned with the rings.” Luckily, Minnesota may be able to benefit from Michigan’s experience in this area. In December 2013, Michigan passed two laws whose combined effect is to restrict access to crash reports and prohibit “direct solicitation” of auto accident victims during the first 30 days after a crash. Specifically, the laws are: MCL 750.410b, which prohibits the “direct solicitation” of auto accident victims during the first 30 days after a car accident; and, MCL 257.503, which prohibits any “person” from obtaining an accident report in order to make a “direct solicitation” of a car accident victim within the first 30 days after the accident. “First offense” violations of those laws is a misdemeanor and up to a $30,000 fine. Second or subsequent violations can result in “imprisonment” up to one year and up to a $60,000 fine. Significantly, the laws received widespread support from the Michigan Association for Justice, the Negligence Section of the State Bar of Michigan, the Coalition Protecting Auto No-Fault, the Michigan State Police, the Insurance Institute of Michigan and the Michigan Insurance Coalition.
Great coverage of this important issue by the Insurance Journal and Howard Goldblatt. Just wanted to add one point about “new fraud laws.” It was reported that Minnesota is considering laws that would “limit access to police crash reports,” which are used by “fraud rings” to “identify crash victims” who are then “hound[ed]” into getting “bogus treatment at shady clinics aligned with the rings.” Luckily, Minnesota may be able to benefit from Michigan’s experience in this area. In December 2013, Michigan passed two laws whose combined effect is to restrict access to crash reports and prohibit “direct solicitation” of auto accident victims during the first 30 days after a crash. Specifically, the laws are: MCL 750.410b, which prohibits the “direct solicitation” of auto accident victims during the first 30 days after a car accident; and, MCL 257.503, which prohibits any “person” from obtaining an accident report in order to make a “direct solicitation” of a car accident victim within the first 30 days after the accident. “First offense” violations of those laws is a misdemeanor and up to a $30,000 fine. Second or subsequent violations can result in “imprisonment” up to one year and up to a $60,000 fine. Significantly, the laws received widespread support from the Michigan Association for Justice, the Negligence Section of the State Bar of Michigan, the Coalition Protecting Auto No-Fault, the Michigan State Police, the Insurance Institute of Michigan and the Michigan Insurance Coalition.