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The short answer

Insurance fraud is an intentional deception used to obtain an insurance benefit—or avoid paying one. A mistake, disputed estimate, or incomplete form is not automatically fraud.

Cases may involve auto, property, health, life, disability, or workers’ compensation insurance. They often begin with an insurer’s investigation before police make an arrest.

What investigators look at

How large is the problem?

The National Association of Insurance Commissioners, citing the Coalition Against Insurance Fraud, estimates that fraud across all U.S. insurance lines costs businesses and consumers $308.6 billion a year. That is a nationwide estimate—not a Maryland conviction total.

What prosecutors generally must prove

The exact elements depend on the charge. Usually, the State must prove a knowingly false or misleading act, the required intent, and a connection between the accused person and the statement, document, or scheme.

Common defense questions

What to do if an investigator contacts you

  1. Do not destroy, edit, or “clean up” records.
  2. Preserve receipts, messages, photos, estimates, and calendars.
  3. Do not guess during a recorded interview.
  4. Speak with counsel before giving a statement.

Learn more about our Maryland criminal-defense practice, or call 410.268.5515.

Reviewed by Mandeep S. Chhabra, Managing Member, August 2026. This article provides general information about Maryland law and is not legal advice.