The Contra Costa County District Attorney’s Office and the California Department of Insurance partnered to conduct an undercover operation targeting auto repair insurance fraud in Contra Costa County.
Today investigators arrested the last two of four employees at four different auto repair shops caught in the sting operation.
Auto repair shops provide estimates to customers for insurance claims knowing that the customer’s ultimate decision on whether to proceed with the repair, and pay for it, may depend on the insurance company approving and paying out for the claim. This can create an incentive for the estimator to overlook or even encourage a customer known to be committing a fraud.
Accepting business with knowledge or reckless disregard for the fact that a customer intends to commit insurance fraud is a felony punishable by up to three years in prison and an additional fine of up to $50,000.
An undercover officer visited several auto body repair shops in Contra Costa County and told estimators that they wanted to claim and repair pre-existing damage on a new insurance policy initiated after the damage occurred. The officer requested a repair estimate from the shop to assist with the false insurance claim.
According to the Contra Costa County D.A.’s Office, four individuals have been charged in the sting operation:
- Kyle Coburn (30-years-old) of AW Collision in Concord
- Marco Hernandez (49-years-old) of 101 Auto Body in Richmond
- Estephanie Gonzalez-Marquez (26-years-old) of Tepa Auto Body in Pittsburg
- Vu Hoang (33-years-old) of Kee’s Auto Body in Concord.
The District Attorney’s Office also reminds consumers to be wary of listening to anyone who suggests lying to an insurance company related to an insurance claim. Providing false or misleading information in support of an insurance claim is a felony punishable by up to five years state prison and an additional fine of up to $50,000.
Anyone with information about possible auto insurance fraud can report that information to the District Attorney’s Office via email at DA-ReportFraud@contracostada.org
11 comments
So where did the money come from to fund the sting? CA is broke and why on earth would they worry about the insurance companies when there are roads that need repairs. Also insurance companies are constantly ripping off their customers and not paying out on claims…
If we don’t go after these crimes OUR rates go up and up. Who pays for
the loss???? It’s passed on to the….consumer that does the right thing.
Good job COCO County!
Lucy,they go up anyway for blah blah blah reason.They should go down by law everytime they bust someone but they don’t,and the money taken in by the courts for this kind of fraud should go into a fund that everyone with insurance gets a slice of,and that fund would be enormous.
@ bdml
What a stupid comment! Another classic Californian pushing for a lawless state!
Where did you hear California is broke?
The monies came from honest citizens held in trust. Go to the library or educate yourself more on the subject matter.
Ugly creeps defrauding.. I know at least Marco is old enough to understand his consequences by now.
BDML I couldn’t agree more. What a waste of tax payer money. Insurance are the frauds.
It’s disappointing that Vu from Kee’s Auto Body got busted. I utilized their services for a collision repair. Vu was great to deal with.
“Deal” is the key word!! It’s their “deals” that got them caught!
I was thinking the same thing. Had a lot of work done by them, great people. Wouldn’t think they’d get caught up doing this.
This could all be simply avoided by the insurance company them self!
Mercury insurance require’s all their insured’s who gets a new policy or add’s a another car to an existing policy. Would have to bring their car down to one of their approved shop’s, to have photos of the insured’s car and it’s condition taken and uploaded to them prior to approving the policy! No other insurance company I know requires this…if others did this Form of pre- approval requirements, it would cut down on fraud claims
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