News Releases
The Co-operators goes to court to combat auto insurance fraud in Ontario
Jul 29, 2011
1:05pm
GUELPH, ON, July 29, 2011 /CNW/ - As part of its ongoing efforts to
combat auto insurance fraud in Ontario, The Co-operators announced
today that it has filed a Statement of Claim (SOC) with the Ontario
Superior Court of Justice against five Toronto-area assessment clinics.
Co-operators General Insurance Company and its subsidiary COSECO
Insurance Company are seeking $7 million in damages, following more
than a year of intensive investigation.
The SOC details several alleged abuses related to assessments and
treatments of injured auto insurance claimants by the following
defendants:
-
2171713 Ontario Inc.
-
Century Diagnostic & Assessment Centre Inc.
-
Fairview Assessment Centre Inc.
-
M.D. Consult Inc. o/a Toronto Regional Medical Assessment Centre and
Danny Grossi
- Pacific Assessment Centre Inc.
These abuses include:
- Unauthorized use of regulated health practitioners' electronic signatures on documents such as assessments and treatment plans
- Submitting requests for assessments and treatment that clients are not aware of, which are unnecessary and/or never rendered
- Submitting invoices for payment related to assistive devices that are unnecessary and/or never purchased
The Ontario government has recently taken additional steps to help in
the fight against insurance fraud, and The Co-operators has implemented
new procedures and practices to detect fraudulent activity during the
claims process. It has also committed additional resources and expanded
its Special Investigations Unit to deter fraudulent activity. The
organization will continue to work diligently to bring those
responsible to justice, to ensure that clients' premium dollars are
going towards those injured in accidents, not criminal activity.
Ontario, and in particular the Greater Toronto Area, has long been a
North American hotbed of fraud. It is estimated that fraud and abuse
account for $1.3 billion of the $9 billion Ontario drivers pay in
premiums every year. Ontario offers the richest benefits and has the
most expensive auto insurance in Canada.
About The Co-operators:
The Co-operators Group Limited is a Canadian-owned co-operative with
more than $41 billion in assets under administration. Through its group
of companies it offers home, auto, life, group, travel, commercial and
farm insurance, as well as investment products. The Co-operators is
well known for its community involvement and its commitment to
sustainability. The Co-operators is ranked #1 among the 50 Best
Corporate Citizens in Canada by Corporate Knights, and listed among the
50 Best Employers in Canada. Visit www.cooperators.ca.
For further information:
Frank Bomben
The Co-operators
519-767-3055