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Last Modified on Nov 26, 2025
Understanding insurance fraud charges in California can be a difficult and overwhelming process, especially if you are facing said charges. You may feel confused and isolated, unsure of where to start and what to do. Fortunately, an attorney can help. Hire an insurance fraud lawyer today and see how they can help you build your criminal defense.
An Overview of Insurance Fraud Charges in California
Understanding insurance fraud charges in California is valuable, especially if you have been accused of committing insurance fraud or are trying to avoid committing it. The first thing you should do is learn about the different types of insurance fraud you may be charged with in the Golden State.
There are several different types of insurance fraud, including auto insurance fraud, healthcare fraud, property and homeowner’s insurance fraud, and workers’ compensation fraud.
Auto Insurance Fraud
As of February 2025, roughly 5,597 auto insurance claims have been filed in the state of California. Auto insurance claims are one of the potential areas for insurance fraud, which can include doing any of the following:
- Evading your insurance rates. This can be done by filing false information, like giving an out-of-state address, as a way of attempting to get a lower insurance rate.
- Filing a false theft claim. It is considered auto insurance fraud to report a vehicle as stolen when you have hidden, destroyed, or sold it.
- Incorrectly inflating your claim. Elevating your vehicle’s damage repair estimates or claiming unrelated damage are both reasons that you can be charged with auto insurance fraud.
- Staging an accident. If you intentionally fake or cause an accident in order to file a fraudulent claim, you can be charged with auto insurance fraud.
Healthcare Fraud
Healthcare fraud is another branch of insurance fraud in California. Recently, one study estimated that Medicare fraud costs $60 billion annually. Here are some examples of how health insurance fraud may be carried out:
- Billing fraud. This involves billing for a service that hasn’t been performed, performing an unnecessary procedure, or over-billing for a service.
- Intentionally misdiagnosing patients. If a doctor intentionally misdiagnoses a patient in order to generate increased billing, they can be charged with healthcare fraud and may lose their license.
- Medical identity theft. It is considered healthcare fraud to use someone else’s identity to obtain any medical services.
Property and Homeowner’s Insurance Fraud
In February of 2025, California had a total of 33,717 insurance claims filed requesting coverage for living expenses, business, home, and other needs related to natural disasters. With a history of earthquakes and raging wildfires, it is no surprise that this number of claims was so high just two months into the year.
- Committing arson. If you intentionally set your house or property on fire as a way to collect insurance money, you can be charged with insurance fraud.
- Filing a false claim. It is illegal to file a claim for any damages or theft that has not occurred.
Workers’ Compensation Fraud
Workers’ compensation fraud can be carried out in many different ways, including the following:
- Claim denial fraud. This happens when an insurance company or employer falsely denies a legitimate workplace injury claim to their employee.
- Employee fraud. If an employee falsifies an injury claim so they receive benefits, they can be charged with fraud.
- Employer fraud. Misclassifying employees as independent contractors, misrepresenting the number of employees, or underreporting payroll are all forms of fraud.
Why Should I Hire an Insurance Fraud Lawyer in California?
A wide variety of benefits can result from your choice to hire an insurance fraud lawyer. It can be incredibly helpful to have a knowledgeable guide leading you every step of the way. This allows you to avoid the level of stress and confusion you may have otherwise experienced, and your lawyer can also work to protect you from potential injustices, such as unlawfully obtained evidence and other violations of your rights.
Why Choose Us?
As a former Judge Pro Tem and District Attorney, Louis J. Goodman knows the courtroom inside and out. He has been practicing for more than 30 years, and he has helped many previous clients overcome their charges. Choose the Law Office of Louis J. Goodman for strategic, experienced defense.
FAQs
What Kinds of Insurance Fraud Can You Be Charged With in California?
There are several different kinds of insurance fraud in California, including filing false claims for auto accidents, property damage, or medical needs. Another example is inflating claims so that you can receive more money. Workers’ compensation fraud is also a crime, occurring in cases where an employee exaggerates their workplace injury or an employer misrepresents their payroll so they can lower premiums. Healthcare fraud is another example.
What Kind of Evidence Can Be Used in an Insurance Fraud Case in California?
In California, there are many forms that evidence may take in an insurance fraud case. This can include falsified documents, billing statements, pictures, video recordings, witness testimonies, and professional insight, such as input from a medical or auto professional or an insurance agent.
How Much Does It Cost to Hire an Insurance Fraud Defense Lawyer in California?
The cost of hiring an insurance fraud defense lawyer tends to vary in California, as legal fees are impacted by case-specific variables. Some examples of these variables include who you hire to represent you, the amount of time your case takes to resolve, and the level of complexity that your case presents.
Are Insurance Fraud Charges Always a Felony in California?
In California, insurance fraud charges are not always a felony. They are often considered “wobblers.” This means they can be filed as either a misdemeanor or a felony. Penalties can include probation, fines, and prison time, varying based on the charges. Misdemeanor penalties can mean spending up to one year in county jail and paying a fine of up to $10,000. Felony charges can result in two to five years in state prison, as well as a fine of up to $50,000 or double the value of the fraud.
Get More Insight Today
At the Law Office of Louis J. Goodman, you can receive the dedicated and client-focused care you deserve. With an overwhelming average of 5-star ratings on multiple platforms, Goodman’s client history speaks overwhelmingly of his skill, knowledge, and compassion. Contact the Law Office of Louis J. Goodman today to learn more about what hiring an insurance fraud lawyer can do for you and your case.
