You may believe only insurance companies should be worried about insurance fraud. But it’s a crime that costs you money, too. According to the Pennsylvania Insurance Fraud Prevention Authority, insurance fraud costs the nation $160 billion annually ‚Äì that’s $600 per year for every man, woman, and child in the United States. Fraud inflates the cost of each consumer’s insurance premium by $200 to $300 per year.
Insurance fraud is intentionally lying to or misleading an insurance company about a claim by providing false estimates for repairs, submitting “doctored” receipts, intentionally creating damage, or faking an injury.
If you suspect someone is committing insurance fraud, you may register an anonymous, confidential tip online at Fraud86.com. In Pennsylvania, you may call the Insurance Fraud Prevention Authority at 1-888-565-IFPA.