In the company’s second fraud-related lawsuit of 2013, Allstate Insurance Company is seeking $1.7 million in damages from three New York-area medical providers who allegedly engaged in a fraudulent medical billing scheme.
The subsidiary of The Allstate Corporation, the nation's largest publicly held personal lines insurer, has aggressively pursued fraudsters while supporting legislative reforms intended to ferret out abuse of the state’s no-fault personal injury protection (PIP) system for many years.
Since 2003, the insurer has filed a total of 46 fraud lawsuits in the state of New York State seeking more than $233 million in damages. Filed in the U.S. District Court, Eastern District of New York, this latest complaint against Gerald Surya, M.D., Sun Medical Care of Nassau, P.C., and Sky Medical, P.C. involves a familiar fraud: inflated medical invoices for “unwarranted, unnecessary or undelivered” treatment and diagnostic testing.
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