Property Casualty Insurers Association of America Regional Manager for New Jersey, Richard Stokes, spoke to lawmakers this week to lobby for more laws helping to fight insurance fraud in the garden state.
“Insurance fraud hurts all consumers…whether committed by a consumer seeking inappropriate results from an insurance policy or a professional who seeks to swindle an insurance company, everybody shares in the costs that result,” said Stokes. According to PCI nearly a quarter of questionable claims that come through the state stem from exaggerated injuries. The number of questionable claims has risen dramatically in New Jersey over the past few years and Stokes wants more laws enacted to keep the numbers down.
Insurance fraud hurts consumers and they are the ones that end up paying for the negligence and crimes of others. Costs from loss and adjustment expenses from fraudulent claims are averaging at about 30 billion dollars a year. The Coalition of Insurance Fraud reported that those hurt by insurance fraud end up with lost savings, job loss, and health issues.
In an interview with Insurance Journal Stokes was quoted saying, “New Jersey has come a long way in fighting insurance fraud, and we hope it will go even further…We supported the recent reorganization of the Bureau of Fraud Deterrence within the Department of Banking and Insurance, and other changes as an opportunity to invigorate the state’s ability to fight insurance fraud. Insurance fraud continually changes as criminals find new ways to defraud people and companies out of their money.”
Can your New Jersey Insurance Quotes change due to others fraudulent escapades? If you are worried about insurance fraud contact your independent insurance agent today for more information on what the state is doing to fight fraud.