[Global Epic Reporter Hwang Seong-su] Recently, insurance fraud by those who intentionally cause traffic accidents for insurance money is causing social repercussions. Insurance fraud is the act of deliberately causing an accident or manipulating information to deceive an insurance company and obtain insurance money.
It occurs in various forms, such as disguising it as a traffic accident and receiving a large amount of insurance money, or pretending that an insured accident occurred even though it did not occur. In order to receive as much insurance money as possible, the extent of damage is exaggerated by inflating car repair estimates, colluding with doctors to increase the degree of injury or disability level, and deliberately staying in the hospital for a long period of time.
Insurance fraud is subject to criminal punishment, and if you deceive an insurance company and claim insurance money, you are also guilty of insurance fraud. Insurance fraud is punishable by imprisonment for up to 10 years or a fine of up to 50 million won in accordance with the ‘Special Act on Prevention of Insurance Fraud’.
If the amount of profit from insurance fraud is more than 500 million won or if you are judged to be a habitual offender, you will be subject to severe punishment and may be subject to disadvantages such as restrictions on employment. Additionally, even if the fraud is discovered and the attempt is made without receiving the insurance money, punishment cannot be avoided.
Due to the rapid increase in insurance fraud crimes, there are frequent cases where innocent accident victims or policyholders are accused of insurance fraud because the insurance money is large or the number of insurance claims is high.
Attorney Park Shin-young of Daeryun Law Firm (Lihan) said, “During the investigation process to detect insurance fraud, there are many cases where medical professionals or patients who did not commit any illegal acts are charged or punished simply based on suspicious circumstances.”
He added, “As the issue of insurance fraud has emerged, including the arrest of a group of insurance fraudsters worth hundreds of millions of dollars, the level of punishment has increased and insurance companies are forming teams to respond, so if you are unfairly suspected of insurance fraud, you must seek the help of an insurance lawyer and a traffic accident lawyer from the beginning of the case and respond proactively to avoid unfair punishment.”
View full article - If you are unfairly suspected of traffic accident insurance fraud, you must respond immediately.
