Study underway; new task force
The Scot Strems cases are prompting broader interest and review by state policymakers. The Florida Legislature’s research service is now examining homeowner and auto insurance fraud in Florida and whether it’s being effectively prosecuted. The project by the Office of Program Policy Analysis and Government Accountability (OPPAGA) was prompted by a request from Senator Jeff Brandes (R-Pinellas) to Senate President Bill Galvano.
In the letter, Brandes notes the Florida Bar, the state Supreme Court, and the Citizens Property Insurance Corporation’s cases against Scot Strems and states: “Our fraud-fighting mechanisms are not meeting the problem of increased homeowner’s insurance fraud.”
Senator Brandes noted that from fiscal year 2014-2015 to FY 2018-2019, referrals for property insurance fraud have increased by a cumulative 109%. “There has not, however, been a corresponding increase in the annual number of arrests, number of cases presented for prosecution, and successful prosecutions. In FY 2014-2015 there were 46 arrests, 57 cases presented for prosecution, and 42 successful prosecutions; by FY 2018-2019, there were 47 arrests, 54 cases presented for prosecution, and 41 successful prosecutions, though referrals had more than doubled. Fraud reports for homeowner’s insurance to the DFS are rapidly increasing, but arrests and prosecutions are not,” wrote Brandes.
Sen. Brandes asked Senate President Galvano to direct OPPAGA to work with the Banking and Insurance Committee and Criminal Justice Committee and analyze whether the Department of Financial Services Division of Investigative and Forensic Services and local prosecutors are effectively dealing with the homeowner’s insurance fraud and auto insurance fraud in this state.
In Southwest Florida, 20th Circuit State Attorney Amira Fox will be announcing the creation of the State Attorney’s Office Construction/ Contractor Fraud Task Force during the Contractor Fraud Summit being held this Thursday, October 15 in Port Charlotte. Presenters will be discussing contracts, complaints, fraud prosecution and more. Please see the flyer here for details.
LMA Newsletter of 10-12-20
