Insurance fraud results in severe criminal and legal consequences.
Types of Fraud
- Fake damage (reporting an accident that did not occur)
- Exaggerated compensation claim
- Intentional burning/destruction of property
- Fake invoice
- Impossible activity (e.g. personal accident while dead)
- Duplicate insurance fraud
Criminal Consequences (TCK art.157-158)
- Fraud: 1-5 years imprisonment
- Qualified (for insurance purposes): 3-10 years + judicial fine
- TCK art.158/1-h: fraud for the purpose of insurance contract
Legal Consequences
- Cancellation of the contract
- Refund of the compensation paid (with interest)
- Insurer's compensation for damages
- "Fraud" note in the insurance registry
Rights of the Insurer
- Failure to pay compensation
- Recovery of previously paid compensation
- Penalty complaint
- Material damage compensation
Insurance Information and Monitoring Center (SBM)
- Data sharing among all insurers
- Suspicious customer warning
- Fake damage detection algorithms
Supreme Court 23rd CD and 11th HD
23. CD accepts that in insurance fraud, "organized" and "systematic" files will be judged as qualified fraud, and 11. HD accepts that the insurer can always claim back the compensation paid.
Insurance law lawyer is recommended.