Michigan Cracks Down on Auto Fraud

A few weeks ago, Michigan Gov. Rick Snyder signed a bill into law that takes aim at reducing Auto Insurance Fraud. This type of fraud has been a growing problem in Michigan and can include anything from staged auto accidents, to inflating insurance claims with phony damage estimates and medical expenses.
The new law makes it a felony, punishable by up to 10 years in prison and a $50,000 fine, to act as or employ a runner, capper, or steerer (slang terms for those typically involved in auto insurance fraud).

By implementing the law, Michigan hopes to put money back in taxpayers’ pockets. State residents are ‘footing the bill’ for auto insurance fraud because these instances lead to higher insurance rates; an expense all of us know too well.

More information on the issue can be found at: http://insurancenewsnet.com/article.aspx?id=334817&type=333754