no fault auto insurance News

Minnesota Insurance Fraud Probe Expands with Chiropractor Indictment

Minnesota Commerce Commissioner Mike Rothman announced that an additional Twin Cities area chiropractor has been indicted on federal criminal charges in connection with an ongoing investigation of large-scale health care fraud related to “no-fault” auto insurance. Timothy Wayne Guthman, age …

Is No-Fault Auto Insurance to Blame for High Rates, Fraud?

A dozen states still use no-fault auto insurance to cover the medical expenses of crash victims. Michigan House members returned to work last week to decide whether they’ll give the state’s motorists a break on their highest-in-the-nation auto insurance premiums. …

New York Man Gets 15 Years for No-Fault Insurance, Stock Fraud Scheme

A Long Island, New York, man was sentenced to 15 years in prison for a $35 million fraud that a judge said wrecked investors’ lives. Mikhail Zemlyansky, 39, was led out of a Manhattan courtroom Thursday, Jan. 28, in shackles …

Fraud Adds Up to 17% to Auto Insurance Injury Claims: IRC

A new study estimates that fraud and claim “build-up” add between $5.6 billion and $7.7 billion in excess payments to auto injury claims paid in the United States. The excess payments represented between 13 percent and 17 percent of total …

Farmers Files Suit Against Multiple N.Y. No-Fault Medical Providers

Los Angeles-based Farmers Insurance Group announced that Farmers Insurance Exchange, one of the insurers comprising Farmers Insurance Group, and affiliates have filed a lawsuit in the state Supreme Court of New York against more than six New York no-fault medical …

Industry Groups Applaud N.Y. Gov.’s Initiative to Crack Down on Auto Fraud

Insurance associations are applauding New York Gov. Andrew Cuomo’s proposal for a multi-pronged approach to combating auto insurance fraud. The initiative was outlined in the 2014–2015 executive budget proposal released Tuesday. The executive budget briefing book describes proposals under the …

N.Y. Doc Acquitted of Participating in $275M No-Fault Insurance Scheme

A Long Island, N.Y., doctor has been acquitted of participating in a $275 million scheme to defraud no-fault auto insurers. Joseph Vitoulis had been accused of acting as the straw owner of a medical clinic. He allegedly ordered phony treatments …

New York Bans 12 Doctors From No-Fault Insurance Billing

New York officials have banned 12 doctors and six therapists from billing the state’s no-fault auto insurance system in an initiative to crack down on fraudulent medical mills costing hundreds of millions of dollars. Insurance regulators say their investigation showed …

Michigan Governor Unveils Auto Insurance Plan

Michigan Gov. Rick Snyder and Republican lawmakers have unveiled a proposal to end unlimited lifetime coverage for medical expenses tied to auto accidents. Drivers now pay $175 per car per year to cover catastrophic injuries, and the fee is rising …

Florida Gov. Scott, Insurance Chief McCarty Oppose Senate PIP Bill

Florida Gov. Rick Scott has blasted a Senate bill to reform the state’s personal injury protection (PIP) auto insurance system claiming the bill does not provide adequate reform and could make the system even more costly. Scott was joined in …