Start Comparing Rates within Minutes!
Start Comparing Rates within Minutes and you could save!
Compare Rates Within Minutes!
- Complete 1 short quote form
- Compare rates from top insurers
- Save time & money!
Study: Suspected insurance fraud rises in NYCPosted On Tue, January 11, 2011
Anyone who visits New York City knows it's a city unlike any other, particularly when compared to the rest of the Empire State, which is generally quite rural. But the city that never sleeps is differentiating itself in another way that most locals would rather not.
According to a study recently released by the Insurance Research Council, auto insurance fraud appears to be on the rise in New York City, going from 29 percent in 2007 to 35 percent in 2010.
In other parts the state, the suspected auto insurance fraud rate is considerably lower at 4 percent.
In addition to incidents of suspected auto insurance fraud, there's been an uptick in medical services used. In the city, 44 percent of those making an insurance claim saw four or more health care providers. In the rest of the state, 14 percent of claimants saw four or more.
In a statement, Elizabeth Sprinkel, senior vice president for the IRC said, "We hope these findings will help policy makers understand the specific behaviors that are driving auto insurance costs so that they can begin to fashion effective responses to the issue."
Auto insurance fraud, which is on the rise across the country, factors into the rising cost of premiums.
Feedback or questions? Email the editor here.