Insurance Fraud Awareness Week

Governor Mark Sanford has proclaimed November 10-14 as Insurance Fraud Awareness Week in South Carolina. Insurance fraud is a felony in South Carolina and can result in jail time. According to the National Insurance Crime Bureau studies indicate 10 percent or more of property/casualty insurance claims are fraudulent.

While there are organized fraud rings throughout South Carolina, other people you wouldn't suspect, such as a next-door neighbor, co-worker or close acquaintance, are also the causes of insurance fraud and increased insurance premiums.

"We need the general public to fight fraud in our state and not tolerate it," said Brandolyn Pinkston, Administrator of the South Carolina Department of Consumer Affairs. "The message is a simple yet powerful one: We all pay for insurance fraud - it's time to fight back."

Officials encourage consumers to use the South Carolina Insurance Fraud Hotline to report cases to the Attorney General's Insurance Fraud Division. The South Carolina Insurance Fraud Hotline (1-888-95-FRAUD) is available toll-free, 24 hours a day, seven days a week.

What is Insurance Fraud?

• Misrepresentation of the number of miles on an auto insurance application.
  
• Failure to report an accurate medical history when applying for health insurance.
  
• Fake or exaggerated injury claims to avoid work and draw workers’ compensation pay outs.
  
• Falsification or overstatement of injuries in an auto accident to obtain a large settlement or damages award.
  
• Staged auto accidents that result in claims for non-existent or exaggerated injuries.
  
• Fabrication of relationships to obtain life insurance benefits.
  
• Exaggeration of the amount and value of items stolen from a home, business or automobile.