Posted on 07 Jun 2010
No-fault auto insurance fraud is estimated to have added $229 million in costs to the insurance system in 2009 and it is time to stop the rip-off of hard working New Yorkers, says the Property Casualty Insurers Association of America (PCI).
PCI is part of the Fraud Costs New York coalition urging the New York Legislature to put citizens first and take action this year to curtail the actions of unethical medical providers and collections attorneys who are abusing the system.
To educate lawmakers and consumers about the need for achieve comprehensive, meaningful reform, the coalition has created a campaign Web site, www.FraudCostsNewYork.com.
The No-Fault Reform Agenda
Enacting meaningful, comprehensive legislation reform of the New York no-fault system is a top priority for PCI and others in the industry. PCI is seeking reforms that will combat excessive medical charges, encourage fast and fair settlements of claim disputes, provide adequate time for fraud investigations, and institute tough penalties for insurance fraud by making it possible to decertify health care providers who commit no-fault insurance fraud. PCI also wants to protect public safety and control insurance costs by increasing penalties for so-called “runners” who stage accidents to enable fraudulent medical claims or steer accident victims towards unnecessary medical treatments.