Florida’s Automobile Insurance Fraud Strike Force Reviews Fraud-Fighting Funding; Approves Corporate Registration Change

Jul 9, 2013


Florida’s Automobile Insurance Fraud Strike Force (“Strike Force”) met via conference call today, July 9, 2013. 

A product of the 2012 Legislature, which directed the Florida Department of Financial Services to protect consumers through monitoring fraudulent activity in Florida’s insurance marketplace, the Strike Force is intended to identify available resources to proactively assist law enforcement, state attorneys and other partners in fighting auto insurance fraud.

At today’s meeting, Florida Chief Financial Officer Jeff Atwater was present to introduce former Broward County Sheriff Al Lamberti as Strike Force Chairman. 

In his opening comments, Chairman Lamberti noted the success of Florida’s “Pill Mill” prescription drug fraud program and said he believes a similar one could work to prevent auto insurance fraud.  The Pill Mill program raised over $1 million. 

After the minutes from the January 24 Strike Force meeting were unanimously approved, Vice Chairman Donovan Brown (of the Property Casualty Insurers Association of America) updated Strike Force members on the filing of the organization’s not-for-profit status with Florida’s Division of Corporations.  The Strike Force was established as a corporation in May 2013.

Because the Strike Force is intended to serve the community purpose of fighting insurance fraud, it was recommended that it be set up as a non-profit corporation under Section 115 of the Internal Revenue Service (“IRS”) code, rather than a 501(c)(3).  Strike Force members voted to amend the bylaws and articles of incorporation to effectuate this change.  They also approved a motion to file a Form 990 with the IRS in conjunction with the Section 115 filing.

A motion for the Treasurer to establish a bank account was approved.   Checks will be payable to the account name of “Auto Insurance Fraud Strike Force.”

Chair Lamberti led a discussion on Strike Force outreach ideas and initiatives, such as working with Florida’s Agency for Health Care Administration and Department of Health in conjunction with Florida law enforcement to crack down on doctors running clinics that are fraudulently leveraging Florida’s Personal Injury Protection insurance law.

He also discussed funding development, which might include reaching out to law enforcement and insurance companies as a valuable resource. 

CFO Atwater suggested the Strike Force should put together fundraising solicitation presentations to solicit the insurance industry and others. 

The meeting adjourned.   Another will be set in the near future.

To view today’s agenda and related documents, click here.



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