WASHINGTON--(BUSINESS WIRE)--To prove its point that GEICO has a zero tolerance policy regarding
insurance fraud, GEICO has filed a federal lawsuit in Arizona against an
auto glass repair shop suspected of submitting fraudulent glass repair
bills. GEICO seeks to recover damages under Civil RICO statutes, as well
as for unjust enrichment and fraud, and, GEICO says, the Arizona action
is also a preview of future lawsuits.
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GEICO alleges that its customers’ signatures were forged on invoices
submitted to GEICO for repairs by A & E Auto Glass that were never
performed. Specifically, GEICO was billed for repairs associated with
recalibration of Advanced Driver Assistance Systems using falsified
documents. In many instances, such a system was not even available on
the specific make and model of the vehicle being repaired. In addition
to billing for services which were never provided, the suit alleges that
the defendants submitted fabricated documents from Arizona automobile
dealerships for reimbursement of glass parts that were never purchased.
“GEICO has a zero tolerance policy when it comes to insurance fraud,”
said Shane Wheeler, assistant vice president of claims in GEICO’s
Tucson, Arizona, office. “These incidents of fraud hurt consumers
because they cause premiums to increase.” Wheeler went on to say that
GEICO has a long history of seeking out individuals willing to commit
fraud. GEICO intends to file future lawsuits to continue making every
effort to protect its customers and the public from fraudulent glass
repair operators.
GEICO filed its case – Government Employees Insurance Company, et al.
v. A & E Solheim, LLC, d/b/a A & E Auto Glass, et. al. – in
the U.S. District Court for the District of Arizona. GEICO also seeks a
declaration that any pending claims are not owed. GEICO is represented
by Barry Levy, Rivkin Radler LLP and William Thorpe, Thorpe Shwer P.C.
(Government Employees Insurance Company), the second-largest auto
insurer in the U.S., was founded in 1936 and insures more than 27
million vehicles.
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