Counties get grants to fight, investigate auto insurance fraud

Date: Wednesday, October 5, 2011, 6:55am PDT - Last Modified: Wednesday, October 5, 2011, 7:53am PDT

Melissa Wiese

Web Editor - Sacramento Business Journal

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Counties are getting grants to fight automobile insurance fraud. California Insurance Commissioner Dave Jones said $23 million will be given to district attorney offices to investigate and prosecute insurance fraud.

Of that, $15.2 million goes to 35 counties for the regular insurance fraud program, and another $7.6 million in grants will go to 10 counties for the organized auto fraud program.

In the regular fraud program, El Dorado County will get $298,957. Sacramento will receive $532,567. Yolo County will get $152,423. In the organized auto fraud program, Sacramento County is in line for another $369,930.

Jones said that even as insurance fraud is rising in the state, district attorneys have fewer resources and funding to fight fraud.

“Automobile insurance fraud drives up premiums for California consumers, and every effort is being made to combat it,” Jones said in a statement.

Melissa Wiese oversees the Sacramento Business Journal's website.