BILL NUMBER:S1685

TITLE OF BILL:
An act
to amend the penal law, in relation to staging a motor vehicle accident

PURPOSE:
To impose tough criminal penalties on those who engage in
staged accidents.

SUMMARY OF PROVISIONS:
This bill would establish a new crime of
staging a motor vehicle accident. A person who operates a motor
vehicle and intentionally causes a collision with intent to commit
insurance fraud or arranges to have another person intentionally
cause such a collision shall be guilty of staging a motor vehicle
accident in the third degree which would be punishable as a class D
felony.

A person would be guilty of staging a motor vehicle accident in the
second degree, punishable as a class C felony, if he or she commits
the offense of staging a motor vehicle accident in the third degree
and has been previously convicted of an insurance fraud crime within
the preceding five years. A person would be guilty of staging in the
first degree, punishable as a class B felony, if a person commits the
offense of staging in the third degree and causes serious personal
              

injury or death to another person other than a participant in such
offense.

JUSTIFICATION:
On March 22, 2003, Alice Ross, a 71 year old
grandmother, was killed as the result of a staged auto accident.
These "accidents" are arranged and intentionally committed by
criminals who then file fraudulent insurance claims for fake crash
injuries and rob insurance companies and their policyholders. While
the economic cost of such activity is staggering with no-fault
insurance fraud estimated to cost insurance companies and their
policyholders $1 billion per year, staged accidents also pose a
serious public safety risk, as is demonstrated by the untimely death
of Alice Ross. Women and elderly drivers are in particular danger
because they are often targeted for these accidents because they are
less likely to be confrontational after an accident, thereby making
it easier for criminals to engage in this activity.

This bill would impose tough penalties on those who stage accidents,
thereby deterring individuals from engaging in this dangerous crime.
Not only would this help to contain no-fault fraud and reduce
insurance premiums, but it will make us all safer. New York State
drivers should not have to drive down the road wondering whether
someone might purposefully drive into them for the purpose of
engaging in insurance fraud.

LEGISLATIVE HISTORY:
S.6450 of 2010; S.2634 of 2007-08

FISCAL IMPLICATIONS:


None.

EFFECTIVE DATE:
This act shall take effect on the first of November
next succeeding the date on which it shall have become a law.