Insurance Fraud NEWS
Make staging crashes a crime, Coalition urges New York gov
June 12, 2019, Washington, DC
Staging a crash should be a specific crime in New York, the Coalition Against Insurance Fraud urges Gov. Andrew Cuomo.
“In recent years we have seen an unfortunate surge in these types of fraud scams which cause injury, death and increased insurance costs for all New Yorkers,” Matthew Smith, the Coalition’s director of government affairs, writes in a letter to Cuomo.
AB 3895 is known as “Alice’s Law.” It would make staging a car crash a crime in the Empire State. The bill has cleared the Senate and Assembly.
The bill is named after Alice Ross. She was a grandmother in Queens who was killed in a botched staged accident intending to ram her vehicle for false no-fault injury claims in 2003.
Staged crashes have remained frequent in New York. They’re often run by organized rings. Insurance payouts for large and bogus no-fault whiplash claims have helped make New York auto premiums some of the highest in the U.S.
“The bill now only awaits your signature before becoming law,” the Coalition writes Cuomo. “Please Governor, sign this bill so other New York citizens are not injured or killed as a victim of these insidious acts, and those who commit these crimes are prosecuted to the full extent of the law.”