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    2010 Insurance Fraud Hall of Shame

    The Coalition Against Insurance Fraud has put together a few cases of insurance fraud from this past year that have cost people and companies large amounts of money.

    Flames of Greed – A man from New York was caught for burning down his apartment building so that he could receive well over $200,000 from an insurance payout. Unfortunately this crime ended in the death of a woman that had gone back into the apartment complex to save her cat. The man will be in jail for the next 25 years.

    Devilish ‘Christian’ Insurer – The Puget’s Sound Agricultural Society sold bogus auto coverage as a ‘Christian’ company. False documents were sent to automobile drivers that were injured and did not receive money that was promised to them. James Kalfsbeek of the Puget company received 10 years in jail.

    Sick Health Plan – American Trade Association sold fake insurance to over 12,000 unsuspecting customers. One man with heart troubles couldn’t get any help from the insurance company when he needed a pacemaker. Eventually the Tennessee Insurance Department shut down what is being called one of the biggest insurance fraud companies in recent years.

    Deadly Drug Con – A drug company in Kansas was giving out illegal drugs to several addicts and charged insurance companies for the cost. A man was found dead in his apartment after abusing the illegal drugs given out. The drugs were given out by Dr. Stephen Schneider who has a 30 year jail sentence now.

    Child Murdered – One of the saddest stories was one involving a 3 year old girl and her father. The father drowned his own 3 year old child in order to gain $200,000 in life insurance. After examining the fathers unemotional response to his daughter dying and his history of harming children from past marriages he was caught and sentenced to jail.

    Broken Promises – A man from Vermont broke his back falling off the roof of a convenience store he was trying to rob. To claim insurance money he blamed his broken back on his innocent landlords, robbing them of their life savings. The man now faces 46 months in jail.

    Non-Working Comp – Maryland Insurance Department caught a man that claimed $250,000 for being shot while on the job working for UPS. It was found out that the man had his friend shoot him in the leg so that he could receive the money.

    That wraps up the ridiculous Insurance Fraud Hall of Shame of 2010. Insurance fraud may seem a harmless crime at first thought but as this article has shown these ridiculous crimes have led up to $8 billion in losses and have physically hurt and even killed innocent people.


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