Insurance Law

Recent Posts

Free Zalma’s Insurance Fraud Letter May 1, 2012
Posted on 1 May 2012 by Barry Zalma

By Barry Zalma, Attorney and Consultant In this, the ninth issue of the 16th year of publication Zalma's Insurance Fraud Letter (ZIFL), ZIFL reports on: 1. Barry Zalma reports on an interesting appellate decision that convicted a person for... Read More

Recent Insurance Fraud Convictions
Posted on 18 Aug 2008 by Barry Zalma

In the current issue of Zalma's Insurance Fraud Letter I report on the following convictions for insurance fraud. Rare as they are the punishments for the same crime range wildly. Review these convictions and then do something to convince your legislatures... Read More

Insurance Fraud Blotter 11/1/2009 - Recent Arrests, Charges & Convictions
Posted on 3 Nov 2009 by Barry Zalma

Each week we'll be surveying what the media, state agencies, insurance companies, and others report in terms of insurance fraud. Just like a police blotter, our insurance fraud blotter lists recent arrests, charges, and convictions. Insurance... Read More

“Millions for Defense and not a Dime for Tribute.” Attempted Fraud Fails
Posted on 20 Jun 2011 by Barry Zalma

By Barry Zalma, Attorney and Consultant Insurers Must Never Pay a Fraud When I was a young adjuster the motto of the insurance industry was "Millions for Defense and not a Dime for Tribute." Fraud was known but not a large problem... Read More

Why Rescission is an Appropriate Remedy to Health Policies Acquired Fraudulently
Posted on 1 Jun 2009 by Barry Zalma

The Los Angeles Daily Journal, on May 28, 2009, reported that a much-watched case against Blue Shield of California for revoking medical coverage of an injured policyholder ended abruptly when the plaintiffs, Cindy and Steve Hailey of Cypress, admitted... Read More

Bullivant Secures Jury Verdict, Court Awards Judgment under Counterclaim for First-Party Insurance Fraud
Posted on 3 Oct 2011 by Bullivant Houser Bailey PC

By John A. Bennett, Stuart D. Jones, Matthew E. Hedberg, Andrew E. Passmore, Attorneys, Bullivant Houser Bailey PC Following a two-month trial, Safeco Insurance Company of Oregon was awarded $9.977 million on its counterclaim for insurance fraud... Read More

Anti-Fraud Legislation Headed to Texas Governor
Posted on 5 Jun 2009 by Insurance Council of Texas

Texas lawmakers took a huge step in curtailing the activities of today’s ambulance chasers by passing HB 148. The bill now on its way to Governor Perry for his signature makes it illegal for lawyers, chiropractors and other health professionals... Read More

Weekly Fraud Blotter – September 11, 2009
Posted on 13 Sep 2009 by Barry Zalma

Each week, with the assistance of our long-time resident fraud expert Barry Zalma, the Insurance Law Center will be surveying what the media, state agencies, insurance companies, and others report in terms of insurance fraud. Just like a police blotter... Read More

It is Necessary to Know Insurance to Fight Insurance Fraud
Posted on 25 Sep 2008 by Barry Zalma

According to the Coalition Against Insurance Fraud: “When it comes to insurance fraud, the United States is a world leader. We arguably have the most severe problem on the planet. But we also have the most sophisticated means of combatting fraud... Read More

'Tis the Season for Fraud
Posted on 19 Dec 2008 by Barry Zalma

From Zalma's Insurance Fraud Letter: Fraud Fails In New York In Nationwide Mutual Insurance Co. v. Posa , No. CA 08-00192 (N.Y.App.Div. 11/14/2008) Defendant Kathleen A. Baughman sued defendant Robert J. Posa seeking damages for injuries that she... Read More

Insurance Fraud - The Black Widows
Posted on 18 Apr 2008 by Barry Zalma

Insurance fraud is seen as such a minor crime that a lawyer claimed, as a defense to a murder charge, that "it was only insurance fraud." The fight against insurance fraud will continue unabated and without success, as long as the public and... Read More

Heads I Win, Tails You Lose - A Proposal to Defeat Insurance Fraud
Posted on 14 Apr 2008 by Barry Zalma

Insurance fraud is not a local problem. It is a depletion of the wealth of the entire country. Insurance fraud is recognized to be a $100 Billion yearly crime in which the victims of the crime are insurers who are less than loved by the public. If properly... Read More

Insurance Fraud In New York Approved by Court
Posted on 9 Jun 2008 by Barry Zalma

In Fair Price Med. Supply Corp. a/a/o Cesar Nivelo v. Travelers Indem. Co. 2008 NY Slip Op 04946, Decided on June 5, 2008,the court concluded that if a no-fault insurer does not detect fraud within 30 days it must pay. "While preclusion requires... Read More

Insurance Fraud -- The Danger of Surveillance
Posted on 1 Jul 2008 by Barry Zalma

Anyone who has ever attempted surveillance understands how difficult it is to conduct surveillance without intruding into the right to privacy of the party being followed. A good surveillance is conducted in a manner where the person being followed has... Read More

Insurance Fraud -- Man Bites Dog
Posted on 15 Apr 2008 by Barry Zalma

The 1994 Northridge, California earthquake that caused billions of dollars in damages across Southern California also drew unscrupulous lawyers and public adjusters seeking fast money. Investigation was limited and because of the catastrophe many unnecessary... Read More

  • Blog Post: Heads I Win, Tails You Lose - A Proposal to Defeat Insurance Fraud

    Insurance fraud is not a local problem. It is a depletion of the wealth of the entire country. Insurance fraud is recognized to be a $100 Billion yearly crime in which the victims of the crime are insurers who are less than loved by the public. If properly prepared, however, the insurer victim can avoid...
  • Blog Post: Insurance Fraud Recent Developments

    Although insurance fraud is the least prosecuted of major felonies, I try to give credit to those few agencies who actually arrest, try and convict insurance fraud criminals. Here are some I collected last month. As you read note the wide disparity in penalties imposed by the various jurisdictions. ...
  • Blog Post: Insurance Fraud -- Man Bites Dog

    The 1994 Northridge, California earthquake that caused billions of dollars in damages across Southern California also drew unscrupulous lawyers and public adjusters seeking fast money. Investigation was limited and because of the catastrophe many unnecessary and spurious suits were filed. Insurance fraud...
  • Blog Post: Insurance Fraud - The Black Widows

    Insurance fraud is seen as such a minor crime that a lawyer claimed, as a defense to a murder charge, that "it was only insurance fraud." The fight against insurance fraud will continue unabated and without success, as long as the public and lawyers consider it to be so proper that it would...
  • Blog Post: Bankruptcy Filings and Insurance Fraud

    Bankruptcy Filings Review A Necessary Step to a Thorough Claims Investigation The reports of a down-turn in the U.S. economy results in an increase in bankruptcy filings and the filing of fraudulent insurance claims. The bankruptcy stops creditors from harassing the Petitioner and insurance fraud gives...
  • Blog Post: Anti-Fraud Efforts Work

    For the last 13 years Zalma's Insurance Fraud Letter has argued that the insurance industry, the states, and the federal government must work together to maintain a strong anti-fraud effort. The argument has mostly fallen on deaf ears because insurers and the prosecutors believed it was cheaper to...
  • Blog Post: Insurance Fraud In New York Approved by Court

    In Fair Price Med. Supply Corp. a/a/o Cesar Nivelo v. Travelers Indem. Co. 2008 NY Slip Op 04946, Decided on June 5, 2008,the court concluded that if a no-fault insurer does not detect fraud within 30 days it must pay. "While preclusion requires Travelers to pay a no-fault claim it might not have...
  • Blog Post: Anti-Fraud Resolutions

    Insurance fraud of all types continues to grow to epidemic levels. It is perpetrated by people of every race, religion, national origin, financial situation, sexual orientation, age, or physical condition. As the US economy slows and the value of the dollar drops people turn to insurance fraud as a "safe"...
  • Blog Post: Insurance Fraud -- The Danger of Surveillance

    Anyone who has ever attempted surveillance understands how difficult it is to conduct surveillance without intruding into the right to privacy of the party being followed. A good surveillance is conducted in a manner where the person being followed has no idea he is the subject of a surveillance. If...
  • Blog Post: Multi-Millionaire Lawyer in Club Fed

    On June 27, 2008 Richard Scruggs was sentenced to five years in federal prison. Perhaps he and a few of the others can open a federal prison bar association to discuss the error of their ways. According to the Associated Press: "U.S. District Judge Neal Biggers Jr. called Scruggs' conduct "reprehensible"...
  • Blog Post: Black Widows Sentenced

    You should recall the story of the Black Widows who ran a variation on the Agatha Christie novel, “Arsenic & Old Lace”, Helen Golay, 77, and Olga Rutterschmidt, 75 were convicted of murder as part of an insurance fraud scheme. The two women cashed in $2.8 million in life insurance by...
  • Blog Post: Insurance Fraud News

    Here are some reports of convictions for insurance fraud from the soon to be published Zalma''s Insurance Fraud Letter : Deputy Insurance Superintendent Sentenced to Four Years for Fraud -- Insurance fraud is not always committed by those who purchase insurance and seek payment for a fraudulent...
  • Blog Post: Recent Insurance Fraud Convictions

    In the current issue of Zalma's Insurance Fraud Letter I report on the following convictions for insurance fraud. Rare as they are the punishments for the same crime range wildly. Review these convictions and then do something to convince your legislatures, prosecutors and judges to take the $100...
  • Blog Post: Insurance Fraud -- Recent Conviction

    In the most recent issue of Zalma's Insurance Fraud Letter I report on the following insurance fraud convictions with various, strange, punishments: Guilty Employer – Five Years, Deferred According to the Kentucky Department of Insurance a West Liberty, Kentucky man, Sidney L. Allen, 45, pleaded...
  • Blog Post: It is Necessary to Know Insurance to Fight Insurance Fraud

    According to the Coalition Against Insurance Fraud: “When it comes to insurance fraud, the United States is a world leader. We arguably have the most severe problem on the planet. But we also have the most sophisticated means of combatting fraud. Our systems for detecting and investigating fraud...
  • Blog Post: Thank You For The Economic Meltdown

    All of us who work to defeat fraud owe a debt of thanks to the US Congress, greedy bankers and stock brokers, for causing the economy to tank because insurance fraud will increase logarithmically. You and I will be busy investigating potential fraudulent claims, taking statements and Examinations Under...
  • Blog Post: 'Tis the Season for Fraud

    From Zalma's Insurance Fraud Letter: Fraud Fails In New York In Nationwide Mutual Insurance Co. v. Posa , No. CA 08-00192 (N.Y.App.Div. 11/14/2008) Defendant Kathleen A. Baughman sued defendant Robert J. Posa seeking damages for injuries that she allegedly sustained on April 24, 2005 when the vehicle...
  • Blog Post: Insurance Expert Recommends All Insurers Demand Restitution from Convicted Fraud Perpetrators

    In the February 15, 2009 edition of Zalma’s Insurance Fraud Letter insurance coverage expert Barry Zalma reminds all insurers who are victims of the crime of insurance fraud that restitution is not intended to punish defendants or to provide a windfall for crime victims, it is designed to ensure...
  • Blog Post: Why Rescission is an Appropriate Remedy to Health Policies Acquired Fraudulently

    The Los Angeles Daily Journal, on May 28, 2009, reported that a much-watched case against Blue Shield of California for revoking medical coverage of an injured policyholder ended abruptly when the plaintiffs, Cindy and Steve Hailey of Cypress, admitted that they "willfully" made crucial errors...
  • Blog Post: Anti-Fraud Legislation Headed to Texas Governor

    Texas lawmakers took a huge step in curtailing the activities of today’s ambulance chasers by passing HB 148. The bill now on its way to Governor Perry for his signature makes it illegal for lawyers, chiropractors and other health professionals to solicit the victims of auto accidents or catastrophes...
  • Blog Post: Fraud by Insurers

    Culver City CA – The vast majority of insurance fraud is perpetrated against insurance companies. However, as the economy becomes weaker and it becomes more difficult for insurers to make a profit, insurance fraud by insurers is increasing. Fly-by-night insurers open, charge low premiums, collect...
  • Blog Post: HEAT on Health Insurance Fraud

    I am pleased to hear that Attorney General Eric Holder and Health and Human Services (HHS) Secretary Kathleen Sebelius recognize that fraud is taking a great deal of money out of government programs. Perhaps someday they will expand their efforts to strike at fraud against private insurers who lose more...
  • Blog Post: Yes, We Have No Bananas – Nicaraguan Farm Workers’ Fraudulent Insurance Claims against Dole

    Insurance fraud cases are not limited to attempts to defraud insurers directly. They are most often fraudulent claims brought against people who are insured. Some are small, fake fender benders while others deal with millions, if not billions, of dollars. In California multiple lawsuits have been filed...
  • Blog Post: Weekly Fraud Blotter – September 11, 2009

    Each week, with the assistance of our long-time resident fraud expert Barry Zalma, the Insurance Law Center will be surveying what the media, state agencies, insurance companies, and others report in terms of insurance fraud. Just like a police blotter, our insurance fraud blotter lists recent arrests...
  • Blog Post: Weekly Fraud Blotter – September 28, 2009

    Each week, with the assistance of our long-time resident fraud expert Barry Zalma, the Insurance Law Center will be surveying what the media, state agencies, insurance companies, and others report in terms of insurance fraud. Just like a police blotter, our insurance fraud blotter lists recent arrests...