GEICO Hits Nuclear Button Over Insurance Fraud

GEICO is redoubling its zero-tolerance policy towards fraud, by filing its second federal lawsuit in Arizona against an auto repair shop that has been suspected of filing fraudulent repair bills. The insurer alleges that the Advantage Auto Glass repair shop submitted invoices with forged signatures of GEICO’s customers, for repairs that were never even performed. In particular, GEICO alleges that it was billed for repairs associated with Advanced Driver Assistance Systems — systems that were not even available on many of the cars being “repaired.” In addition to billing for services that were not provided, GEICO’s suit alleges that the defendants submitted falsified documents from Arizona automobile dealerships for reimbursement of glass parts that were not purchased.