What is the Penalty for Insurance Fraud in New Jersey?
Insurance fraud is a serious offense in the state of New Jersey. This “white-collar crime” may not seem as serious as a violent offense like murder or assault, but you should be aware of the legal consequences. Insurance fraud can result in lengthy prison sentences and significant fines. Even if you committed insurance fraud without being aware of what you were actually doing, you still need to approach this situation carefully.
If you have been charged with insurance fraud in New Jersey, it makes sense to enlist the help of a qualified, experienced criminal defense attorney as soon as possible. The sooner you team up with a legal expert, the sooner you can start approaching this situation in a confident, efficient manner. With a professional by your side, you can mitigate many of the legal consequences associated with insurance fraud, including jail time and fines.
How Insurance Fraud is Defined Under New York Law
According to New York law, insurance fraud in the first degree is a class B felony. This is when you commit a fraudulent insurance act and obtain property with a value in excess of one million dollars. A class B felony involves a maximum prison sentence of 25 years, although it will likely be a shorter sentence in the case of insurance fraud since this is a nonviolent crime.
There is also a wide range of additional insurance fraud crimes:
- Insurance fraud in the second degree: This involves obtaining more than $50,000, and it is a class C felony.
- Insurance fraud in the third degree: This involves obtaining more than $3,000, and it is a class D felony.
- Insurance fraud in the fourth degree: This involves obtaining more than $1,000, and it is a class E felony.
- Insurance fraud in the fifth degree: Whenever you commit a fraudulent insurance act of any kind, you will be charged with insurance fraud in the fifth degree – regardless of how much money you obtained. This is a class A misdemeanor.
An Example of Insurance Fraud in New Jersey
In April of 2021, it was reported that a man had been charged with insurance fraud after failing to pay the correct premiums to insure his vehicle. He also deprived his employees of proper coverage. This incident came to light after a van accident that caused his employees to suffer injuries. He was charged with insurance fraud in the third degree. This shows how insurance fraud can be more common than you might have expected, and guilty parties can suffer serious legal consequences.
Enlist the Help of a Qualified, Experienced Attorney Today
If you need help with your case, contact New Jersey criminal defense attorney Phillip J. Murphy, Attorney at Law. With a wealth of experience in criminal defense cases, we can help you fight for your rights and avoid needless legal consequences. Book a consultation today, and we can develop an action plan based on the unique circumstances of your situation.