All types of workers comp insurance fraud are being reported and subsequently increasing the cost of the insurance according to McRaith. The types of fraud run the gamut from “employers fraudulently denying claims and employees exaggerating injuries to insurance companies unjustly raising rates on workers comp insurance.”
Voicing many peoples beliefs nationwide McRaith said, “Illinois business owners simply pay too much for workers' compensation insurance premiums.” He also added, “"Insurance fraud is a $300 billion national problem. The cost of workers' compensation insurance fraud can be costly on paper and in opportunity." McRaith needs to site his sources for such a huge amount of money but nonetheless workers comp fraud is a costly problem.
Last summer Illinois “instituted stricter penalties against workers comp insurance fraud by making workers who file fraudulent claims face felony penalties, including jail time, along with some of those who collect on fraudulent claims having to repay up to three times the amount wrongfully collected.”
A Workers’ Compensation Anti-Fraud Unit was established to investigate reported cases of fraud throughout the state and can be reached at 1-877-WCF-UNIT (1-877-923-8648).
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