--- title: Legislation Equips California to Fight Insurance Fraud description: California state legislature signs a bill that will make it easier for the CA DOI to combat fraud. --- [![logo](https://www.sutherland-scherff.com/hs-fs/file-2124776912-png/image/logo.png)](https://www.sutherland-scherff.com/) [![Facebook](https://www.sutherland-scherff.com/hs-fs/file-2124776847-png/image/f.png)](http://www.facebook.com/pages/Sutherland-Scherff+Insurance+Services,+Inc./259814816749)[![Twitter](https://www.sutherland-scherff.com/hs-fs/file-2123924931-png/image/t.png)](http://www.twitter.com/SutherlandIns)[![YouTube](https://www.sutherland-scherff.com/hs-fs/file-2124776862-png/image/y.png)](http://www.youtube.com/user/SutherlandIns)(888) 400-1133 # The Insurance Family Blog ## [Legislation Equips California to Fight Insurance Fraud](https://www.sutherland-scherff.com/blog/bid/24483/Legislation-Equips-California-to-Fight-Insurance-Fraud) Posted by [Susie Scherff](https://www.sutherland-scherff.com/blog/author/susie-scherff) on August 30, 2010 at 4:22 PM - [Tweet](https://twitter.com/share) In a positive move for [honest California Insurance](https://www.sutherland-scherff.com/) agencies, the California Legislature has approved a bill that will allow the [CA Department of Insurance (DOI)](http://www.insurance.ca.gov/) to better investigate insurance fraud trends in an attempt to reign in a problem that costs the state tens of millions of dollars a year. According to a story on [ClaimsJournal.com](http://www.claimsjournal.com/news/west/2010/08/27/112816.htm): “…*it would authorize the DOI to convene meetings with insurance companies to discuss specific information concerning suspected, anticipated, or completed acts of insurance fraud and would protect a person sharing information pursuant to that authorization from civil liability for libel, slander or any other relevant cause of action, according to the bill text*.” Basically this law would protect whistle-blowers and other who may suspect insurance fraud but not have the necessary evidence to back it up. Rather than requiring a person to put their reputation on the line and risk being sued, the bill would allow the DOI to investigate to determining if fraud is happening. Honest, law-abiding California companies and agencies suffer because of the misdeeds of an unscrupulous few, and we’re hopeful the bill gets signed into law by Governor Schwarzenegger. If you suspect [CA business insurance](https://www.sutherland-scherff.com/business-insurance/) fraud at your workplace or elsewhere, it’s important to speak up. Especially with the new health care/insurance reform, there are many people selling fake health plans or using their insurance license to collect on phony Medicare claims. Especially with elderly folks, it’s always important to make sure they’re working with a reputable insurance provider. 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