Ohio Insurance Department Warns of ‘Past Posting’ Fraud Scheme

The Ohio Department of Insurance warned of an insurance fraud scheme committed after an auto accident or property damage that is trending in the state.

Named the “past posting” scheme, the term describes the action of a person attempting to secure insurance after an incident in which they did not have coverage or making it appear they had insurance when the incident occurred, such as by manipulating paperwork.

“A person may assume that insurance fraud is a victimless crime and that there are no serious consequences for committing it,” said Ohio Department of Insurance director Judith L. French said. “This type of scheme is insurance fraud, which is illegal and punishable by financial penalty and time in jail. Insurance fraud increases how much Ohioans pay for insurance.”

The Coalition Against Insurance Fraud estimates that the economic impact of insurance fraud is a $308.6 billion annual cost to U.S. consumers and businesses, equaling about $932 annually for every American and more than $70,000 over a person’s lifetime.

The Ohio Department of Insurance monitors the state’s insurance marketplace for insurance fraud. From July 1, 2021, to June 30, 2022, it received more than 7,433 allegations of insurance fraud and insurance agent misconduct, opened 1,116 administrative and criminal investigations, identified 132 potential law violations, and took administrative and/or criminal action against 162 individuals.

Source: Ohio Department of Insurance

Topics Fraud Ohio