Ten Arrested For Auto Insurance Fraud In North Carolina
The issue of insurance fraud has been documented countless times in the printed media. Once again, the industry has been targeted by those that see the industry as a way to get money. The Insurance Journal* has reported the capture of 10 individuals in North Carolina accused of defrauding Southern General Insurance Company, North Carolina Farm Bureau, Nationwide, State Farm, Allstate, GMAC, Atlantic Casualty and Universal Insurance Companies. The accused individuals were allegedly behind an automobile fraud ring that staged auto accidents, submitted false insurance claims, claimed fake or exaggerated injuries, and gave false information on insurance applications. The operation defrauded companies of an estimated $1 million dollars. Law enforcement agencies including the Shelby Police Department, Cleveland County Sheriff's Office, the National Insurance Crime Bureau, and the North Carolina Department of Insurance were involved in the investigation.
Daimler Chrysler is recalling 127,928 2005-2006 Pacifica passenger vehicles. The fuel pump module and the power train control module (PCM) software may allow the engine to stall under operating conditions. This could cause a crash to occur without prior warning. Dealers will reprogram the power train control module. The fuel pump module will also be replaced on vehicles built from August 1, 2004 through September 30, 2004. The recall was expected to begin on November 20, 2006.
Daimler Chrysler is also recalling 18,245 2007 Jeep Compass sport utility vehicles. The owner's manual does not contain the required rollover risk information. Without the rollover warning information in the owner's manual, driver's may not be aware of the significantly higher rollover rate on this type vehicle, which could result in a crash. Daimler Chrysler will mail an addendum to the owner's manual to all affected owners. The recall was expected to begin on November 13, 2006.
Nissan is recalling 96,500 2004-2006 Titan crew cab trucks. The wires in the harness were routed through the rear doors and into the body. These wires may break due to over bending of the harness as the door is opened and closed. The harness contains wires for the driver's seat belt pretensioner and for the front passenger seat belt. Wires for the rear audio speakers are also contained in the harness. If the wires for the seat belt and speaker wires break and make contact, there is a possibility that the pretensioner may deploy. If this happens when the seat belt is retracted, it will not be possible to use the seat belt. If one of the wires on the right side harness for the seat belt tensioner sensor breaks, the passenger side front air bag will not deploy in a frontal collision, increasing the risk of a crash and personal injury. Dealers will replace the wire harness cover with a different type that prevents over bending of the harness, and the harness rerouted. the recall is expected to begin on or about February 19, 2007.