Four insurers have filed a civil lawsuit with the Supreme Court of the state of New York against a group of New York City physicians who allegedly sold the use of their names and medical licenses to chiropractors and lay people. Progressive Auto Insurance, Allstate, GEICO and New York Central Mutual are charging that the physicians established 40 phony medical professional corporations, which were used as fronts for the fraudulent billing of insurance companies.
"This filing represents a unique cooperative effort between the four insurers to help stop the proliferation of fraud," said Vince Coyne, corporate special investigations unit manager for Progressive. "We do compete for customers, but we work together to protect our customers from this outrageous offensive and we will take every legal and investigative action to prosecute the defendants named in this complaint."
