HONOLULU — The Hawaii Insurance Division’s Fraud Branch announces the successful prosecution of Albert Banach for insurance fraud and attempted theft.
The Fifth Circuit Court found Banach guilty after he pleaded no contest to insurance fraud and attempted theft, after submitting false claims to Progressive Insurance Company. Each count carries up to five years imprisonment and $10,000 in fines. On July 9, the Honorable Randal G.B. Valenciano sentenced Mr. Banach to four years of probation and 10 days of jail.
Banach was involved in a motor vehicle collision with a woman who was riding her bicycle on Aliali Road in Kapaa on Sept. 12, 2013. Banach did not have car insurance coverage at the time and subsequently obtained a policy from Progressive Insurance Company within an hour after the accident. Banach attempted to have Progressive Insurance Company pay the bicyclist’s medical expenses, which exceeded $3,500.
“Defrauding or attempting to defraud an insurance company is not a victimless crime,” explained Insurance Fraud Administrator Colleen Chun. “Stealing from an insurance company raises insurance premiums for all policyholders, so we urge everyone to stay informed and report any suspicious incidents to our division.”
To report suspicious activity or for more information on insurance fraud, call the Insurance Fraud Hotline at (808) 587-7416.
The Hawaii Insurance Division oversees the Hawaii insurance industry; issues licenses; examines the fiscal condition of Hawaii-based companies; reviews rate and policy filings; and investigates insurance related complaints.
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Department of Commerce and Consumer Affairs
Phone: (808) 586-7582
Mobile: (808) 286-9626