Representatives Mike Collins and Brandon Gill have introduced the Staged Accident Fraud Prevention Act in the U.S. House to curb fraudulent staged truck accidents, a rising issue impacting the trucking industry. These schemes, where fraudsters intentionally orchestrate collisions to gain large payouts from trucking companies, lead to significant insurance cost increases and cause financial strain, particularly on smaller owner-operators.
This new legislation posits making intentional collisions with commercial vehicles a federal crime, incorporating penalties such as fines and imprisonment of up to 20 years, or longer if the staged accident results in serious injury or death. The bill aims to address the safety risks on highways and the financial hit to trucking companies while holding not just the perpetrators accountable, but also any attorneys, physicians, and other co-conspirators involved.
A notable case, Operation Sideswipe in Louisiana, highlighted the severity of this fraud, involving dozens of staged crashes and resulting in 63 indictments. Industry representatives such as the American Trucking Associations and the Owner-Operator Independent Drivers Association endorse the bill, emphasizing its necessity in protecting innocent truck drivers, lowering consumer goods costs, and reducing insurance premiums.
The proposed measures offer protection to law-abiding truckers from criminal fraud schemes that exploit the legal system through false claims and lawsuits. This legislation is a critical step towards establishing clear, enforceable penalties to mitigate these widespread scams, supporting the trucking industry by decreasing insurance costs and enhancing highway safety.
