All insurance fraud is a crime.
It occurs during the process of buying, using, selling and underwriting insurance. Examples of Insurance Fraud People who stage accidents or exaggerate injuries to collect disability benefits. Applicants for life, disability, or long term care policies who fail to disclose significant medical conditions or other material facts on their applications. People who continue to collect disability benefits even though they are able to return to work. A Financial Representative who bills you personally, but does not deliver a policy.