Livermore Man Busted in Connection WIth Auto Insurance Fraud

A Livermore, Calif., man has been arrested for allegedly filing an insurance claim for a collision which occurred before auto insurance was added to his vehicle, a scheme otherwise known as “crash and buy,” the state Department of Insurance announced.

Brian Edward O’Boyle, 38, was arrested and booked at Santa Rita Jail on June 30. He was charged with two felony counts of insurance fraud. His next court appearance is scheduled for July 30.

O’Boyle’s insurer, GEICO, reported the alleged fraud to the California Department of Insurance in January 2010. According to the DOI, ivestigators discovered that on Sept. 25, 2009, O’Boyle’s coverage on his 1996 Honda Prelude was cancelled by GEICO due to non-payment or premium. On Dec. 1, 2009, at about 10:30 a.m., O’Boyle was involved in an accident with another vehicle in San Jose. Nearly two hours later, at 12:09 p.m., O’Boyle renewed his insurance policy with GEICO.

The accident was reported to GEICO on December 2. O’Boyle gave a statement to GEICO on Dec. 21, in which he said that the accident took place after he renewed his insurance policy. Upon further investigation, GEICO determined that O’Boyle did not have coverage at the time of the accident and denied his claim without payment.

CDI investigators obtained a confession from O’Boyle on May 13, 2010. He purportedly admitted to renewing his insurance policy after the accident to get coverage for the damages. Investigators also discovered that O’Boyle was driving with a suspended license at the time of the accident.

Because O’Boyle did not have insurance coverage at the time of the accident, the other driver incurred $4,386 in losses, which was covered under the driver’s Uninsured Motorist Policy. Although GEICO denied O’Boyle’s claim, the company incurred investigative costs due to misrepresentations made by O’Boyle.

This case is being prosecuted by the Santa Clara County District Attorney’s Office.

Source: DOI