San Antonio Man Pleads Guilty to Comp Fraud

Texas Mutual Insurance Company reported that Kevin Savage of San Antonio has pleaded guilty to workers’ compensation fraud-related charges.

According to Texas Mutual, the Travis County 147th District Court sentenced Savage to a one-year suspended jail term, 18 months of probation and 160 hours of community service. The court also ordered Savage to return $6,991 in illegally obtained benefits to Texas Mutual, pay a $500 fine, and attend counseling and treatment as recommended by probation.

Savage reported an injury while working as a swab operator for RPM Swabbing Service Inc. His doctor put him in off-work status, and Texas Mutual began paying him temporary income benefits (TIBs).

Meanwhile, Texas Mutual received information that Savage had begun working for a second employer. A Texas Mutual investigator followed Savage from his residence to a business in Seguin and videotaped him unlocking the front door and sitting at a desk. The investigator called the business and recorded a conversation in which Savage identified himself as vice president of marketing.

State law allows injured workers to receive TIBs only while they are unable to work. The law also requires injured workers to notify the workers’ compensation insurance company when they begin working again. With every TIBs check, Texas Mutual Insurance Company includes a statement reminding the claimant to contact the adjuster if he or she returns to full-time or part-time work.

Additionally, Texas Mutual adjusters often contact claimants directly to determine their work status.