One broker was beginning to have doubts that anything could be done to stop fraudsters plaguing the insurance system. He now sees signs for hope.
“All these days, as a broker, I had this helpless feeling, wondering why the insurance industry and our justice system is not putting a stop to these culprits who have been using our industry for their illegal activities,” wrote Prince Manickam to
Insurance Business, in response to the story
‘Jail, restitution ordered for staged-collision ring.’ “Today I am glad to see at least one of them is being punished.”
The decision to jail and order $1.3 million in restitution for the ringleader of a staged-collision ring was widely applauded by the insurance industry, following an Ontario Judge’s ruling to hand down a strong sentence to a “directing mind of several clinics” involved in a staged collision ring.
The ring submitted auto insurance claims that they purported to have been signed or authorized by several Ontario registered health practitioners, including five chiropractors, a massage therapist and a kinesiologist, when in fact they had not been. The fraudsters also staged several auto collisions, made accident reports to police and filed false injury claims, which resulted in payments for medical treatments that were never provided and income replacement benefits based on false employment submissions.
For Manickam, it is the first step of many to take to put an end to fraud in the province.
“I will have peace of mind only when all of them - including the lawyers who are involved in any criminal activities to swindle money from our system - are sent to jail,” wrote Manickam.
Who was the ringleader? Click here to find out.
