Insurance Fraud Claim Upheld
June 4, 2015In this insurance fraud case, the Court of Appeals rejected the insured argument that the insurer could not have relied on fraudulent representations as a matter of law because the insurer conducted its own investigation into the claim. The Court found that the plaintiff could show reliance because the defendant had undertaken a “systematic campaign to hinder or hamper the investigation” by, among other things, “covering up the physical evidence that the roof was not damaged when or as [the defendant] claimed, by directing employees to lie to [the insurer’s] claims specialist, and by creating fraudulent invoices to support his claimed cost of repair.”
