Strategies, Challenges, and Answers

Insurance Fraud Can Be A Lot of Things.

Nevada’s definition of “insurance fraud” is very broad. NRS 686A.2815.  Some may think that it requires presenting papers or evidence to an insurer in order to commit fraud.  However, those people would be incorrect.  Fraud can include concealing information or omitting information material to an insurance matter.  Id. at (1)-(3).

A person who knowingly provides false or misleading information as part of an insurance application is committing fraud.  Id. at (1). However, it is fraud to not only present false claims but also to omit to conceal facts in regard to the presentation of a claims. Id. at (2).  Individuals who aid or abet those presenting false claims are guilty of fraud.  Id at (3).  If an employer knows that one of its employees or agents is committing insurance fraud, it has an affirmative duty to report that or risk being accused of fraud as well.  Id. at (8).  And you can’t hire someone else to commit the insurance fraud for you.  You will be complicit in the fraud.  Id. at (7). 

Insurance professionals have their own prohibitions when it comes to insurance fraud.  If you are an insurer, an agent or an insurance practitioner, you are forbidden to assist, conspire with or urge another to commit any act or omission that will mislead, defraud or deceive an insurance company.  Id. at (5).

And don’t forget about the catch all provisions.  Any act or failure to act with the intent to deceive or defraud an insurer to receive benefits or a policy amounts to fraud.  Id. at (4).  Finally, if you know that insurance proceeds are benefits have been obtained fraudulently, and you accept some of those proceeds or benefits, you are guilty of fraud right along with the fraudster.  Id. at (6).

NRS 686A.291 tells us that Insurance Fraud is a Class D Felony  which can result in a prison sentence of 1-4 years and up to a $5,000 fine.  If, by insurance fraud, a perpetrator got away with the policy benefits, other crimes could be added to increase the penalty.

If you have questions about insurance fraud in Nevada, please contact Mike Mills at Bauman Loewe Witt & Maxwell either by phone at 702-240-6060 or by email at

About Michael Mills

Mr. Mills practices in the area of civil litigation and appeals, with particular experience in matters involving trucking liability, insurance defense, insurance coverage, premises liability, products liability and defense of personal injury. Mr. Mills is a member of the Trucking Insurance Defense Association, the Defense Research Institute Trucking Committee and the Nevada Motor Transport Association. Mr. Mills is licensed to practice before the Nevada Supreme Court and the Utah Supreme Court. He is also licensed to appear before the United States Supreme Court, the U.S. District Courts for the Districts of Nevada and Utah, as well as the U.S. Court of Appeals for the Ninth Circuit. Mr. Mills has created 3 Blogs for the benefit of the insurance industry. He serves as editor and publisher of the Nevada Insurance Law Blog, the Nevada Coverage and Bad Faith Blog and the Nevada Trucking Law Blog.

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