On December 11, 2007, two Florida men were sentenced to prison for insurance fraud after staging an automobile accident in Lauderdale Lakes. Broward County Circuit Court Judge Stanton Kaplan sentenced the men to three (3) years in prison followed by ten (10) years of probation. He also ordered them to pay $20,000 in restitution to the insurance companies that were cheated. In 2004, Florida changed its law to require a two (2) year minimum mandatory prison sentence for anyone convicted of participating in a staged car accident to support a fraudulent insurance claim. According to a study performed last year by the National Insurance Crime Bureau, car accident insurance scams happen more frequently in South Florida than anywhere else in the country. Authorities say that thousands of staged car accidents go undetected every year in South Florida contributing to the $30 billion dollars lost annually to insurance fraud nationwide.
To view the Miami Herald article, please click on the link below: