Rajinder Kaur, an Indian-American woman from Jersey City, New Jersey, was among six motorists who were indicted last week for allegedly filing crash claims against insurance policies they obtained after the accidents.
Rajinder Kaur, 35, like the other motorists, was charged by a state grand jury with one count of third-degree insurance fraud for allegedly submitting claims for crashes that occurred before their policies were in effect.
The alleged crimes were not connected in any way. If convicted, each of the motorists faces up to five years in prison and $15,000 in fines, according to a a press statement by New Jersey Acting Attorney General John J. Hoffman.
According to the indictments, each of the vehicles was involved in an accident and at some point after the accidents the defendants purchased auto insurance. Within days or months of obtaining insurance, the defendants allegedly filed claims for those prior accidents. Kaur filed her claim with Government Employees Insurance Company while the remaining defendants filed their claims with Progressive Garden State Insurance Company.
“Crash-and-buy schemes are one of the most common insurance fraud scams in the country. Like any auto fraud, these scams drive up insurance rates for honest policy holders,” Acting Insurance Fraud Prosecutor Ronald Chillemi said. “Drivers tempted to commit this kind of illegal chicanery after a crash should think about the serious criminal penalties they’ll face,”Chillemi said.