Insurance Frauds: The Broken System.

It was one of those "only in LA" January afternoons. High 70's, breezy and perfect. We were just finishing our ice cream cones when we heard the sirens. Two hook and ladders, two ambulances and a police cruiser roared past the Baskin Robbins. Something ugly has happened, I thought. I was yet to learn just how ugly. 

The accident scene was on our way as we bicycled home. I wouldn't have stopped, but I had to because I couldn't process the illogic of what I viewed. One economy car with a scuffed front bumper and one German luxury tank, built for the Autobahn - and to withstand a rocket propelled grenade - had apparently collided... perhaps. The occupants of the Panzer already wore triage immobilization collars as they moaned in agony. The young driver of the econo-box stood beside it, as flummoxed as I. I scrutinized the luxury import. Not a scratch.  How could anyone have been injured in that car?

A woman approached and filled us in. She had witnessed the "accident" and had just finished giving her information to the police. The middle-aged occupants of the luxo-sedan had blown a stop sign and barreled into a thoroughfare. The kid in the econo-box took an evasive move and barely clipped them. Stuttgart metal grazed Detroit plastic, and it was a non-event.

The body language of the paramedics spoke volumes. They'd seen this scam before. One rolled his eyes, another smirked as they loaded the "injured" onto gurneys and into ambulances.

The "accident victims" would be highly outraged if they were called what they are - criminals -  grifters.  Not only will they be trying to rip off an insurance company, they'll likely be tying up a court room, insurance adjusters, emergency room personnel, etc. They already diverted considerable resources from the Los Angeles police and fire departments. Who knows what person(s) in legitimate need had their wait for assistance lengthened by these filthy frauds? Lastly, all our insurance premiums inflate to pay these phony claims.

The kid in the econo-box was lucky he had a witness. Without one, he'd have been in deep trouble.

Clearly, the system is broken.

Any ideas on how to fix it?