MPI lists top fraudulent insurance claims

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This article was published 24/12/2024 (268 days ago), so information in it may no longer be current.

Manitoba Public Insurance (MPI) has revealed its top insurance fraud cases for 2024, which reflect attempts by certain individuals to exploit the provincial insurance corporation, by making exaggerated injury claims or fabricating facts relating to vehicle damage and high-speed crashes.

The investigations conducted by the corporation’s Special Investigations Unit (SIU) resulted in $15 million in savings for Manitoba ratepayers, including $1.9 million from these standout cases alone.

MPI spokesperson Tara Seel told the Sun the $15 million savings achieved would directly benefit ratepayers in the province.

“All money saved directly benefits ratepayers, whether it’s through programming, rebates, or reductions in overall rates, depending on the circumstances of the year,” Seel said in an interview on Monday.

“Essentially, the less MPI has to pay out, the more benefit there is for ratepayers. This is the fundamental principle of insurance. Moreover, we invest in various programs to improve road safety, so redirecting those savings into such initiatives is incredibly valuable for everyone.”

Commenting on the standout fraud cases investigated by MPI this year, Seel cited the example of a claimant who said they had been targeted by a sniper using a silencer. The person was confronted with the fact that no one in the area had heard any shots fired and there was no evidence of such an incident having taken place. Based on this discrepancy, the claim was rejected.

Another case involved a claimant who reported severe injuries following a minor car accident, asserting they could barely walk or use their arms and required assistance with everyday tasks, the corporation’s press release issued Monday said.

The release pointed out that surveillance footage showed the individual engaged in hours of shopping, carrying multiple bags, and walking briskly through malls. As a result, the claimant’s benefits, including income replacement and personal care, were terminated, saving “ratepayers nearly $1.8 million in lifetime costs.” The claimant was also asked to repay MPI nearly $5,000 in “fraudulently” received benefits.

“The stories people come up with are all over the board,” Seel said.

MPI vice president Maria Campos lauded the efforts of the SIU.

“The expertise and dedication of our SIU team in their investigation of suspicious claims is so valuable to MPI and its customers,” she said. “Their hard work of detecting and combating fraudulent claims has contributed to MPI closing 3,548 investigations in 2024 and saving millions for MPI customers.”

By investigating and finding those who are committing insurance fraud, the release stated, MPI can protect the integrity of the public insurance system by ensuring the right claims are paid to the right people for the right amount.

Campos noted that while these cases stood out for their creativity and audacity, fraudulent claims are not rare.

MPI encourages anyone with information about auto insurance fraud to report it anonymously through the MPI TIPS Line or Crime Stoppers.

“Fraudulent claims hurt all Manitobans by driving up costs,” she said. “We all have a role to play in maintaining the integrity of our insurance system.”

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