insurance fraud – Fraud Files Forensic Accounting Blog

Financial Motive For Arson?

20 November 201127 December 2009 by Tracy Coenen

One type of case I really enjoy working is suspected arson. On either a personal or business level, an insurance company may be looking for a motive when arson is supsected. A difficult financial situation is one obvious motive for arson.

Today’s article about a fire at the house of a women accused of defrauding Wisconsin’s child care system brought this to mind. Latasha Jackson has gotten rich off of providing daycare services in the city of Milwaukee. But not just any daycare services. The ones paid for by the Wisconsin Shares program, essentially a welfare program that pays the daycare costs for low income families.

Insurance Agent Buys Policies to Win Performance Bonuses

19 November 201112 May 2006 by Tracy Coenen

Nancy Paquette, an insurance agent with American Family Insurance, committed fraud in order to become one of the company’s top agents. She opened policies without the consent of people to boost her sales figures.

A coworker suspected something was wrong because Paquette would have many last-minute policies written during sales campaigns. She would insist that she handle all paperwork for these last-minute sales, and the supposed customers would never contact the agent’s office about their policies.

AIG Settles for $1.6 billion

19 November 20119 February 2006 by Tracy Coenen

American International Group Inc (AIG) has finalized a settlement of $1.6 billion for allegations of accounting fraud. The settlement will be split almost equally between the Securitites and Exchange Commission (SEC) and the State of New York.

Civil fraud charges were brought against AIG by New York Attorney General Eliot Spitzer and the New York State Insurance Department. The SEC hadn’t yet filed charges, but is expect to file and settle all charges soon.