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Coalition Urges Minn. Insurance Fraud Crackdown

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ST. PAUL, Minn. (AP) — A coalition of insurers, prosecutors and Minnesota lawmakers from both parties is lining up behind a package of 11 measures they say will reduce fraud scams that cost all policyholders more.

The proposals outlined Thursday head to the Legislature for consideration in the upcoming session. They are an effort to close perceived loopholes in claims processing, information sharing and prosecutions that insurance industry officials say make Minnesota ripe for schemes.

While the type of fraud varies, some of it involves people using accidents to gain access to prescription medication and reports of property damage yielding multiple claims.

Among the proposed steps are to allow the state’s commerce commissioner to impose civil penalties for acts of fraud and to limit access to accident records that can be abused by schemers.

(© Copyright 2014 The Associated Press. All Rights Reserved. This material may not be published, broadcast, rewritten or redistributed.)

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