Kentucky Woman Indicted for Insurance Fraud

June 12, 2008

A Corbin, Ky. woman is in custody after being indicted on a felony count of insurance fraud, the Kentucky Office of Insurance reported.

According to court documents, Christine V. Young filled out an application for homeowners insurance coverage with State Farm Insurance Co., stating that she and other household members had no losses for the past three years. She also allegedly stated that no insurer had refused to issue or renew coverage during that time period.

An investigation by the Kentucky Office of Insurance Fraud Investigation Division found that another insurer canceled Young’s homeowners policy due to misrepresentations on the application. In addition, Young was directly or indirectly involved in at least four fire losses and one major theft loss during the three-year period, KOI said.

A KOI fraud investigator and the Corbin City Police arrested Young and she is being held in the Knox County Jail. If found guilty, she faces a maximum sentence of five years in prison and a $10,000 fine, according to KOI.

Source: Kentucky Office of Insurance