Former Adjuster Admits to $268K Auto Insurance Fraud Scheme

A former insurance claims adjuster from Aurora, Colorado, Colette Palin, has confessed to stealing more than $268,000 from Travelers Insurance by filing fraudulent auto insurance claims. Over the course of two years, from 2018 to 2020, Palin issued 64 false claims payments to herself and two accomplices, Shawn Brassfield and Malee Lor. The scheme was uncovered during an internal investigation by Travelers Insurance.

Palin, 63, admitted to the fraud, explaining that she initially committed the crime to help with her sister’s medical bills and later to cover her gambling debts. Brassfield, 55, and Lor, 47, received substantial payments through the fraudulent claims, amounting to $23,344 and $31,495, respectively.

The Colorado Attorney General’s Office filed felony theft charges against all three individuals. Brassfield was sentenced to eight years of probation, 80 hours of community service, and ordered to repay the stolen amount. Lor, a former Thornton Police Department officer, received ten years of probation and 120 hours of community service and will also repay the full amount. Lor is currently in the Florida Department of Corrections.

Palin pleaded guilty last month and awaits sentencing on August 19. Colorado Attorney General Phil Weiser emphasized the commitment to combating insurance fraud and encouraged Coloradans to report any suspected fraud through the state’s StopFraudColorado.gov website.