NEW ORLEANS (WVUE) – The Louisiana Department of Insurance says fraud, such as car crash schemes, drives up insurance costs for everyone.
Prosecuting U.S. Attorney Michael Simpson said the case is about more than the claims that Motta and Giles are convicted of fraudulently filing with insurance companies.
“One thing I want to make eminently clear: insurance fraud is not a victimless crime,” Simpson said. “It is a crime that destroys businesses, impacts lives, and disrupts our society.”
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Insurance fraud costs Louisiana drivers an estimated $4 billion a year, according to the Department of Insurance.
Louisiana Insurance Commissioner Tim Temple said people here file lawsuits over car crash injuries at a rate three times higher than the national average.
“We have the same number of accidents but we are filing twice the number of bodily injury .. that’s the problem,” Temple…
This remains the most prevalent form of financial crime globally. It targets the direct access points to your money: your cards and your bank accounts.
- Skimming: Criminals use small devices called “skimmers” placed over ATM or point-of-sale card slots to capture the data from your card’s magnetic strip.
- Card-Not-Present (CNP) Fraud: This occurs during online shopping where a physical card isn’t required. Thieves use stolen card numbers, expiry dates, and CVV codes to make unauthorized purchases.
- Account Takeover (ATO): A hacker gains access to your online banking credentials (often through malware or phishing) and changes the contact details or passwords, locking you out while they drain your funds.