Rep. Graves Proposes Invoice To Make Staged Collisions A Federal Crime, Decrease Motor Insurance Charges – WAFB
BATON ROUGE, La. (WAFB) – U.S. Congressman Garret Graves is proposing bill that would lower insurance rates for Louisiana drivers by making it a federal crime to stage a vehicle crash and fraudulently claim financial damage.
A state investigation uncovered a massive auto crash staging ring in New Orleans. As of November 2021, 40 people had been charged, 29 have so far been convicted of deliberately causing more than 100 wrecks. One staged accident alone resulted in a $ 4.7 million settlement.
“Louisiana drivers pay some of the highest insurance rates in America. This is unacceptable and the solutions don't require rocket science. Our bill will prevent criminal rings from adding to the cost of travel and business in Louisiana, ”Graves said.
Drivers like Daniel Freedman said his car insurance bill had been a thorn in his side for years.
“That's about $ 100 a month. What goes through my head is that it's just a lot of money, ”Freedman said.
"We have a lot of people who are make-it or break-it deals," Graves said.
Graves also said the high rates could literally drive the business away. He said many truckers are considering leaving Louisiana and relocating their businesses to other states just to cut costs.
"I had a guy who had his trucks in Texas who said the insurance company would give him a 60 percent discount if he signed a Louisiana exemption, which meant he couldn't drive the trucks in Louisiana." said Graves. “It's more than just the insurance costs. It really has a bigger impact on us, and we want to make sure we fix this as criminals shouldn't dictate these kinds of costs to us and undermine Louisiana's competitiveness. "
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