Zalma's Insurance Fraud Letter - April 1, 2021

Not a Joke - Zalma's Insurance Fraud Letter Volume 25, Number 7

Arson for Profit Conviction Affirmed in Pennsylvania

John M. Sekerak appealed from the January 16, 2020 judgment of sentence entered in the Court of Common Pleas of Berks County ("trial court"), following his jury convictions for two counts of arson, recklessly endangering another person ("REAP"), and insurance fraud. In Commonwealth of Pennsylvania v. John M. Sekerak, J-S47005-20, No. 387 MDA 2020, Superior Court of Pennsylvania (March 15, 2021) the Pennsylvania court considered the convicted arsonist’s claims of error only to find that he was guilty beyond a reasonable doubt.

Seven and a Half to Fifteen Years for Fraud

After a judgment was entered by the Supreme Court, New York County (Justice, Neil E. Ross, J.), rendered December 4, 2018, convicting defendant Sharif King, upon his plea of guilty, of criminal possession of stolen property in the second degree, forgery in the second degree, identity theft in the first degree and insurance fraud in the third degree, and sentencing him, as a second felony offender, to an aggregate term of 7½ to 15 years.

False Estimate By “Consultant” Adopted by Insured Is Fraud

Jennifer Mezadieu (“the Homeowner”) appeals the trial court’s entry of final summary judgment in favor of SafePoint Insurance Company (“SafePoint”) in her breach of contract action. The trial court entered final summary judgment pursuant to the policy’s “concealment or fraud” provision after determining that the repair estimate prepared by the Homeowner’s loss consultant included material false statements. In Jennifer Mezadieu v. SafePoint Insurance Company, No. 4D20-2, District Court of Appeal of The State of Florida Fourth District (March 26, 2021) the court sought to be excused from her reliance on the consultant and adoption of the false estimate.

Good News From the Coalition Against Insurance Fraud
Health Insurance Fraud Convictions
Insurance Fraud – The Bane of the Insurance Industry

Next to tax fraud, insurance fraud is the most practiced crime in the world. It is perpetrated by members of every race, religion, and nationality. It is found in every profession. The possibility of a tax-free profit when coupled with the commonly held belief that criminal prosecution will probably not occur, is sometimes too difficult for normally honest people to resist.

Other Insurance Fraud Convictions

Hard Fraud & Soft Fraud

Those who try to put fraud in more than one category move from soft fraud to what they call “hard fraud.” Hard fraud is considered a fraud or attempted fraud that is premeditated and intentionally committed.

© 2021 – Barry Zalma

Barry Zalma, Esq., CFE, now limits his practice to service as an insurance consultant specializing in insurance coverage, insurance claims handling, insurance bad faith and insurance fraud almost

equally for insurers and policyholders. He also serves as an arbitrator or mediator for insurance related disputes. He practiced law in California for more than 44 years as an insurance coverage and claims handling lawyer and more than 52 years in the insurance business. He is available at http://www.zalma.com and zalma@zalma.com.

Mr. Zalma is the first recipient of the first annual Claims Magazine/ACE Legend Award.

Over the last 53 years Barry Zalma has dedicated his life to insurance, insurance claims and the need to defeat insurance fraud. He has created the following library of books and other materials to make it possible for insurers and their claims staff to become insurance claims professionals.

Go to the podcast Zalma On Insurance at https://anchor.fm/barry-zalma;  Follow Mr. Zalma on Twitter at https://twitter.com/bzalma; Go to Barry Zalma videos at Rumble.com at https://rumble.com/c/c-262921; Go to Barry Zalma on YouTube- https://www.youtube.com/channel/UCysiZklEtxZsSF9DfC0Expg; Go to the Insurance Claims Library – https://zalma.com/blog/insurance-claims-library/ Read posts from Barry Zalma at https://parler.com/profile/Zalma/posts; and Read last two issues of ZIFL here.