Lying to his insurance company about vehicle damage to claim insurance did not do Louis Herman Watson any good last April 5, 2010. He was arrested for insurance fraud as he allegedly reported false facts to claim insurance money. His statements that were provided by police investigation brought in this truth as he declared damage and theft while his car was parked at the Ontario International Airport. This, according to the airport report files was a lie, for there was not a car named under him during the days that the offender claims. In the arrest of Watson last March 31 by Claremont police officers, the San Bernardino County District Attorney’s Auto Insurance Fraud Investigation Unit was present.
From police files, it is very common to find similar stories of insurance fraud to claim insurance. Although the consequences are great, people find it familiar for personal interests. Major car insurance companies are recently innovating steps to combat this problem that has been causing havoc to the business system. Catching up on the trend of the culprits, the car insurance industry has been on the move to create a no-win situation. Fines are up and penalties have been redeveloped so that criminals will think before they act.
News have been released about car insurance fraud consequences so that people may be in the know about how much they may lose, in terms of money and even credibility. From car insurance company updates, these penalties include the termination of the insurance (this includes policy and claims), high alert from all other insurance companies, fine and answering to the courts of your state.
From the case of Watson on his damage and theft report to the insurance company, he may face all these depending on company rules for penalty and state laws on fraud. His policy may be terminated and the claims that he has brought up to the insurance company will be voided, including pending claims that he may have under process. Furthermore, his name will be on alert on all other insurance companies so that no more fraudulence can be done and no other company will be misled. Fine may be as high as $100T, excluding other fines he may incur in the event of fraud. When justice catches you, you may end up up to ten years in jail.
To all fraud insurance claimers, better watch out for the law enforcers are on the move and car insurance companies are aiming to get you busted.