Zalma's Insurance Fraud Letter Volume 25, No 5 Includes the Following Articles:
Insurance Fraud by Insurers
Insurance fraud is not limited to fraud by insureds against their insurers. Much to the shame of the insurance industry, the reverse also happens.
The poster child of fraud by an insurer was Martin Frankel who created a scheme he masterminded to “loot” more than $200 million from seven insurance companies that he controlled. Franklin American Corporation, and its wholly-owned subsidiary, Franklin American Life Insurance Company were controlled by another entity, a Tennessee trust named the Thunor Trust. The Trust had purchased an 85% interest in Franklin American in 1991. In subsequent years, the Thunor Trust purchased five other insurance companies, which were domiciled in the states of Mississippi, Missouri, and Oklahoma.
Kickback Schemes Result in Multiple Insurance Fraud Convictions
Health insurers are usually believers in those health care providers who submit invoices to the insurers for the services provided to the people they insure. Realizing that insurers try to act fairly and in good faith, amoral people in the health care profession will often succeed in defrauding the insurers. However, when the practitioners get greedy a prosecutor will become interested and might pursue prosecution against the health care providers.
In a lengthy and detailed opinion called The People v. Gonzalo Ernesto Paredes, D076086, Court of Appeal, Fourth Appellate District Division One State of California (February 18, 2021) Paredes appealed the verdict after a jury found Gonzalo Ernesto Paredes guilty of 35 counts of offering or delivering compensation for workers’ compensation patient referrals and 16 counts of concealing an event affecting an insurance claim, insurance fraud.
New York State’s Legion of Shame
Good News From The Coalition Against Insurance Fraud
Coalition Against Insurance Fraud – Fraud of the Month of February
Health Insurance Fraud Convictions
Videos on YouTube And Zalma On Insurance from Barry Zalma
Zalma on Insurance Videos
Other Insurance Fraud Convictions
New Book: "It's Time to Abolish the Tort of Bad Faith"
Consider Books to Show Your Appreciation to Your Insurer Clients or Claims Employees
New and Now Available from the Zalma Insurance Claims Library
© 2021 – Barry Zalma
Barry Zalma, Esq., CFE, now limits his practice to service as an insurance consultant specializing in insurance coverage, insurance claims handling, insurance bad faith and insurance fraud almost equally for insurers and policyholders.
