Alliance Praises N.J. Efforts to Fight Insurance Fraud

The Alliance of American Insurers has issued an announcement noting that the State of New Jersey has assumed a leadership role in efforts to fight insurance fraud, following a “change in attitude and increased efforts, backed by strong legislation.”

Alliance Northeast Regional Manager Richard Stokes said that the organization wanted to “recognize the efforts of Insurance Fraud Prosecutor Greta Gooden Brown in taking a tough stand on insurance fraud.” Stokes is a panel member at the Sixth Annual New Jersey Insurance Fraud Summit scheduled for Oct. 2.

“Her efforts have led to a 100 percent increase in the number of individuals charged with insurance fraud in the past year,” Stokes continued. “We are particularly pleased with the Fraud Prosecutor’s Office willingness to work with insurers in looking at fraud issues. Her efforts, combined with the legislature’s passage of Gov. McGreevey’s insurance reform package, have made New Jersey a national leader in fighting insurance fraud.”

Stokes also noted that “The Governor’s signing of S 63 added the necessary changes to give real teeth to the law by making insurance fraud a crime, and now we’re seeing the prosecutor’s office take a bite out of the criminal marketplace that had thrived in New Jersey prior to this new attitude.” He also pointed out that the Insurance Fraud Prosecutor’s Office and the insurance industry had begun working groups to coordinate efforts and share expertise in an effort to reduce the level of fraud.

“The working groups have been an additional source of cooperation with the Fraud Prosecutor’s Office to understand the issues and develop mutual solutions. We believe the working groups are the backbone to the level of cooperation we have seen with this administration. Reducing insurance fraud has to be an effort everyone is involved with and we are pleased that the McGreevey Administration has taken such a proactive role,” Stokes added.