For certain companies and lines of work, Workers’ Comp insurance can be pricey – especially if that company has had mismanaged workers’ comp claims in the past. But instead of choosing to work with workers’ comp experts like the ones at Insured Solutions, one Florida businessman decided to take matters into his own hands.
The results were disastrous.
Oscar Matute, the owner of an Orlando construction company, was obtaining a workers’ compensation insurance policy for his company when he decided that, in order to get a lower rate, he could lie about the size of his company. Matute grossly underreported his company’s total number of employees and total payroll, claiming that employees were paid $148,000 during a time when over $2.7 million in payroll checks were actually cashed.
When the discrepancies were discovered, investigators with the Florida Department of Financial Services dug deep to find out why. Eventually, Matute was charged with workers’ compensation premium fraud and engaging in an organized scheme to defraud charges – both considered first degree felonies. Now, if convicted, Matute could face up to 20 years behind bars for his actions.
Businesses with high MODs and higher amounts of claims can be difficult and expensive to insure, but Insured Solutions can help agents address this complicated issue. Instead of just finding higher priced premiums for these companies, Insured Solutions gets to the root of the problem, rehabilitating the business through trainings and programs that help them become better employers, protected from workers’ comp fraud. There may even be programs available to go under a lower MOD until a business can get things under control again.
Stories like the one about Oscar Matute aren’t common, but they’re devastating to both agents and their clients. By partnering with Insured Solutions, agents can supply useful workers’ comp-fighting programs that lower premiums and make them look like a superstar to their clients.
http://www.insurancejournal.com/news/southeast/2016/05/04/407469.htm
http://www.orlandosentinel.com/news/os-oscar-matute-payroll-scheme-20160429-story.html
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Charity Murphy is a freelance writer for Insured Solutions and Improv comedienne based in Louisville, Kentucky. She lives with her husband Ben and their two dogs, Sprocket and Ms. Brisby. |