On April 25-26, 2011, the PA Insurance Fraud Prevention Authority and the Delaware Valley and Greater Pittsburgh Chapters of the International Association of Special Investigation Units (IASIU) jointly hosted the 2011 PA Insurance Fraud Conference and Awards Dinner. More than 400 people attended the event at the Hershey Lodge and Convention Center in Hershey, PA. The conference also featured the 2011 PA Fraud Fighter awards, presented by Ralph Burnham, Executive Director of the IFPA
The following are the highlights from Ralph Burnham’s Awards Dinner presentation:
- The week of April 25, 2011 was declared Pennsylvania Insurance Fraud Awareness Week by the PA House of Representatives.
- The Honorable Robert Godshall, Republication representative of Montgomery County's 53rd Legislative District presented the citation to David Rioux, IASIU President, Tom Donahue, President of the Delaware Valley Chapter of IASIU, John Henry, President of the Greater Pittsburgh Chapter of IASIU, and Ralph Burnham, Executive Director of the IFPA.
- As part of the Pennsylvania Insurance Fraud Awareness Week, the IFPA announced a consumer online contest titled Help Stop Fraud. Now through November, Pennsylvania residents 18 or older can visit the IFPA's website, www.HelpStopFRAUD.org, to learn about insurance fraud and register to win $500. Beginning July through December, 100 prizes will be awarded. Click here to read the media release.
- The support of the state's legislators is critical to protecting the victims of insurance fraud. In 2010, Pennsylvania's General Assembly saw the introductions of several insurance fraud related bills including the introductions of House Bill 2154 and Senate Bill 1181 both intended to further combat insurance fraud through broadened immunity protections. Senate Bill 1181 with bipartisanship support passed the Senate September 22nd (49-0) and the House October 5th (195-1), being signed into law as Act 91 of 2010 on October 27.
- Act 97 provides SIU with immunity from civil liability when exchanging information during their companies' investigations of fraudulent claims and provides consumers that same immunity when reporting suspected fraud to state law enforcement.
- The prime sponsors of that legislation who were recognized:
- The Honorable Donald C. White, Republican Senator of the 41st Senate District, for Armstrong, Butler, Clearfield, Indiana and Westmoreland Counties, and Chair of the Senate's Banking & Insurance Committee
- The Honorable Kim L. Ward, Republican Senator of Westmoreland County's 39th Senate District and Vice Chair of the Senate's Banking & Insurance Committee
- The Honorable Nicolas A. Micozzie, Republican Representative of Delaware County's 163rd Legislative District, and Republican Chair of the House Insurance Committee, PA House of Representatives
- The Honorable Tony DeLuca, Democratic Representative of Allegheny County's 32nd Legislative District and Democratic Chair of the House Insurance Committee, PA House of Representatives
- The 18-month statewide media campaign reduced likely offenders by 2%, at a cost of $18 per person; confirming for us that prevention is a vital companion for funding of criminal prosecutions - at an average cost of $21,000 to $25,000 per defendant.
- Incoming work to the 12 law enforcement agencies funded by the IFPA reached an all-time high of 3,025 fraud referrals, two thirds from SIU, 440 arrests were reported in cases where $9.9 million had been defrauded victims and work on those cases stopped the loss of a further $10.4 million.
- From 488 prosecutions, 164 defendents were granted ARD and 293 guilty pleas were secured, with jail terms imposed upon 59 defendants and 339 ordered to serve probation.
- Restitution of $11.4 million was ordered returned victims and nearly one-half million in fines and penalties were assessed.
- The following SIU groups were recognized:
- Highest rate of referrals to law enforcement - Progressive Insurance SIU
- Highest rate of referrals prosecuted - Nationwide Insurance
- Special recognition was given to Julia Hearthway, former Chief Deputy Attorney General of the Insurance Fraud Section and now, through appointment by Governor Tom Corbett, the Commonwealth's Acting Secretary for the Department of Labor and Industry.
- Click here to learn about the 2011 Fraud Fighter Award Winners.