Florida homeowners pay out about 300% more than average for home insurance. They also pay approximately 30% more for motor vehicle insurance than the national average. There are several laws in the Sunshine State to protect insurance payers.
Types of Florida insurance fraud
Insurance fraud in Florida can be committed by insurance companies or by those trying to claim funds from insurance policies. Committing insurance fraud is a felony, and a judge may hand out fines, jail time or order restitution to be paid.
Filing a false insurance claim
It is unlawful to file false insurance claims. A judge can order a person to spend up to 30 years in prison for filing a false insurance claim.
Staging an accident or injury
Staging a car accident can take on many forms. For instance, someone may look like they are trying to wave you into their traffic lane before hitting your vehicle or allowing you to go through an intersection before t-boning your vehicle. Regardless, all are against Florida Statute 817.234, and people can be found guilty of insurance fraud.
Falsifying information on an insurance application Florida Chapter 817 makes it against the law to falsify information on an insurance application. The law especially singles out physicians for falsifying information. If they do, they can lose their license to practice medicine in the state.
Using someone else’s insurance information
It is against the law to use someone else’s insurance. The exception is if you borrow someone’s car with their permission and get into an accident. In that case, their insurance policy should cover damages from the accident.
People in Florida pay more than the national average for insurance, and lawmakers have passed strong laws against insurance fraud. The laws apply to both insurance companies and policyholders.