Car insurance fraud is when an individual makes intentionally wrong insurance otherwise defrauds an insurance company. Mostly, people do this to get the benefits to which they are not legally allowed. Insurance fraud is normally charged as a felony in California. Also, it carries a punishment of up to five years in state prison.
According to the California Penal Code, you do auto insurance fraud when you commit any of the following. Besides, talk to a professional attorney to get an idea about affordable car insurance quotes.
- Hide, abandon, or damage your auto intentionally to collect car insurance proceeds.
- Intentionally submitting a defrauding auto insurance case for a loss due to destruction, damage, or theft of a car.
- Intentionally present two or more auto insurance cases for the same damage, with a purpose to defraud.
- Do or take part in an automobile accident with the purpose to fraudulently receive the auto insurance proceeds.
California Laws Related To Car Insurance Fraud
- Penal Code 549 PC – suggestion to an auto restoration shop for fraud.
- Penal Code 550 PC – submitting fraud insurance cases.
- Penal Code 551 PC – illegal suggestion to auto repair vendor.
- Penal Code 451 PC – arson.
- Vehicle Code 10501 VC – incorrect report of vehicle robbery.
- Insurance Code 871 – employees’ compensation fraud.
- Penal Code 548 PC – abandoning or damaging a vehicle.
Factors That Determine Penalties For Car Insurance Fraud
There are all types of car insurance fraud tricks that are being charged by the authorities. To determine whether or not you are going to get any prison or jail time in California. You need to look at several factors mentioned below. First:
- How much cash is involved? Is it $10,000, $20,000, is it more?/Is it a few thousand dollars?
These questions are going to be the major factors in determining if the judge fails like it is a prison or jail case. The second thing they would want to know is your criminal history:
- Do you have a clear record or do you possess criminal offenses like assaults?
- Have you faced a circumstance where you have other robbery-related offenses in your history?
These are aspects that they are going to look at. If you’ve got a previous assault and you pick up a new car or felony insurance fraud-related offense. Then probably you are looking at prison time.
Therefore, you need to have a very qualified lawyer to represent your case in those situations. Additionally, a considerable factor that the judge or prosecutor would look at is the level of sophistication comprised with the crime.
In other terms, there are plenty of cases related to this auto insurance fraud where people are intending accidents or burning their cars.
Hence, plenty of times, related to these car insurance crime cases are, for instance, arson and other similar offenses that make sense. They all depend upon what kind of an offense you are discussing and what the likely scheme is.
Penalties For Not Having Evidence Of Insurance
Not all drivers might completely understand that in the majority of the states in the U.S., having a manuscript of evidence of insurance details on hand. It is becoming a basic regulation for traffic stops. In the movies, you might just hear officers at traffic signals inquiring about a driver’s registration and license.
Though, in most states, if the police stop you, they will ask for proof of insurance. Also, if you do not have it, it can cause you some heavy punishments.
Here are a few of the outcomes of not having insurance services details on hand, in order of their related severity.
- The responsibility of the documentation
If you have insurance but you do not keep the insurance details with you, you might think you are safe. Though, in a traffic signal, you may be required to give insurance papers within 24 hours. If you do not do this, you probably risk some of the punishments uninsured drivers face, beginning with fines and citations. Commonly, drivers can have a printout of insurance papers and get it to a local office or court within the duration.
For a first-time crime when insurance has failed or a person has not found an insurer, the outcome might just be fine. Police will generally connect with state departments. Police do this to be sure that people who own cars agree with a demand to get licensed for lawfully driving a vehicle on the road.
Citations and fees are the initial phases in the efforts by particular states to keep all the drivers insured. One of the main reasons states are upping punishments is that insurance spends so much of casualty costs in many recent state systems. When someone drives uninsured, others should pick up the tag with something named uninsured driver coverage. Also, it should get added to other people’s rewards.
- Suspended license
When police find a person without insurance. They might work to suspend the license of that person until they can prove that they have found acceptable coverage. With a fine against them, it might be tough to find this coverage. The prime reason for this is insurers may consider that individual a high-risk driver.
For offenders who repeat it, again and again, police can imprison people that regularly drive without insurance. Besides, not being able to pay for auto insurance is not a valid excuse when the law has made a pattern of this irresponsible behavior. After the charge, the license will commonly be canceled. and the person may encounter more penalties and fines, or even traffic education regulations.
If you are accused of insurance crime, particularly if you are facing felony penalties. You need to consult a criminal security lawyer as soon as possible in your case. A skilled attorney can help you in understanding the rules and regulations of your area. Also, he/she can counsel you on defenses you might raise. Moreover, an attorney must explain your alternatives, and tell you about your rights. If you want to know more about car insurance, get in touch with any good car coverage insurance services.