A family-run California fraud ring in Los Angeles was allegedly claiming that $950 child car seats were damaged in car accidents that never happened, resulting in a total of $180,000 worth of fraudulent insurance payouts — nearly $80,000 from the car seats alone.
Investigators with the California Department of Insurance announced Thursday the end to so-called “Operation Car Seat,” a ring involving seven members of one family who have all been arrested and charged with 31 counts of felony auto insurance fraud.
The suspects allegedly filed dozens of fraudulent false insurance claims between 2014 and 2017 using fabricated receipts for high-end child car seats to claim a higher payout from insurers, according to the department, who caught on via an anonymous tip.
The suspects also submitted altered medical bills and vehicle repair bills to add weight to claims, according to a statement.
(Reuters) — Lloyd's of London will pilot an electronic exchange to handle simple insurance risks this year, it said in a strategy update on Wednesday, as the 330-year old commercial insurance market seeks to modernize.