Andres Hernandez, 36, was detained earlier this month on two counts of auto insurance fraud; the Lakewood, CA native supposedly crashed his car on a track during a racing event and then concealed the fact from his insurer, saying that the car instead crashed along the highway.
For the claim he made, Hernandez was paid $64,860.
He told his insurer that he had crashed his 2015 BMW M3 along Angeles Crest Highway.
Detectives of the Department of Insurance, however, found out that the crash occurred during a race at the Auto Club Speedway in Fontana, while Hernandez was attempting to claim the best lap time. The car spun out of control during the event and hit the raceway wall.
Hernandez allegedly claimed the crash happened on the highway since his personal auto policy did not provide coverage for racing.
Insurance Commissioner Dave Jones asserted that insurance fraud is not a “victimless white-collar crime,” and explained how even the most innocuous of insurance fraud attempts, such as Hernandez’s case, could hurt others.
“[All] Californians pay the price for insurance fraud through higher premiums when insurers pass their losses on to policyholders," Jones said.
