Albany, New York Assemblyman David I. Weprins bill, A3985 also known as Alices law, which imposes criminal penalties on those who engage in staged accidents for the purposes of insurance fraud passed the Assembly unanimously. The legislation makes the staging of an accident to commit insurance fraud a class E Felony and in cases where a serious physical injury or death occurs, a class D felony punishable by up to seven years in prison. The legislation aims to potentially save New Yorkers billions of dollars in higher insurance premiums and protect innocent victims from harmful injury or death. The legislation has passed the Assembly since 2017 and Weprin is hopeful the bill will pass the Senate this year thanks to the change in Senate leadership.
Alices Law was inspired by 71-year-old Queens grandmother, Alice Ross, who was killed in a staged accident in 2003. These staged accidents result in fraudulent insurance claims for fake crash injuries costing companies and their policyholders upwards of $1 billion per year. Furthermore, these activities pose a serious public safety risk especially for women and elderly drivers who are often targeted for these accidents because they are considered less likely to be confrontational.
The loss of revenue to taxpayers resulting from this type of fraud is staggering, but the loss of human life is simply unacceptable. Arranged auto accidents and insurance fraud of this type must be stopped and the time to do it is now," said Assemblyman David Weprin. I look forward to the day when this bill is finally passed in the Senate and signed into law by the Executive.