New York State Targets Auto Insurance Fraud to Lower Driver Costs

New York motorists pay over $4,000 for car insurance, which is $1,500 more than many neighboring states. Governor Kathy Hochul says the cost of insurance fraud is passed down to these motorists. The state is targeting sophisticated criminal enterprises, networks of corrupt drivers, lawyers, and medical providers who stage elaborate crashes for payouts. To combat this, New York State Police and the Department of Financial Services have formed a partnership. More than 250 state and local law enforcement personnel will receive specialized training to detect and investigate insurance fraud. Budget reforms will increase penalties, lower prosecution thresholds, and close legal loopholes.