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How is Workers’ Comp Fraud Defined in Nebraska?

Workers’ compensation fraud is a serious offense in Nebraska and all workers should know what it entails.

Workers’ compensation is available to all workers who are injured in a workplace accident in Nebraska. While some news stories have focused on workers’ compensation fraud, it is not as common as these news outlets would have you believe. Employees have a legitimate need for medical and lost income benefits when they are hurt at work. Still, due to the fact that workers’ compensation fraud has garnered so much attention, even though not rightfully so, it is important that all workers know how it is defined in Nebraska.

Defining Workers’ Comp Fraud in Nebraska

Insurance companies provide workers’ compensation coverage to employers in exchange for employers paying premiums for it. Since it is an insurer that provides the coverage, workers’ comp fraud is known as a fraudulent insurance act under the Nebraska Revised Statutes Section 44-6604.

Under this law, a fraudulent insurance act occurs when a person commits many acts. In regards to workers’ compensation fraud, the statute defines this offense as knowingly and intentionally providing false, misleading, or incomplete information to an insurance company in order to increase workers’ compensation insurance coverage.

It is also illegal to assist, abet, or conspire with another individual to prepare or make statements that are untrue, misleading, or incomplete. Lastly, it is also against the law to misrepresent the death of a person or a disability in order to claim additional benefits.

Penalties for Workers’ Comp Fraud

It is always important to defend against claims of workers’ compensation fraud because the penalties are steep. Any person who commits workers’ compensation fraud may face either criminal or civil charges. If a person is criminally convicted of workers’ compensation fraud, they will face up to four years in prison, a maximum fine of $25,000, or both. A criminal punishment will largely depend on the amount obtained through fraud.

Once a person is found guilty of workers’ comp fraud, a judge may also order that the person pays restitution to the insurer along with the costs associated with the investigation of the fraud. Again, due to the fact that workers’ compensation fraud is largely overblown by the media and insurance companies, it is critical that employees fight against it. A workers’ compensation lawyer can help refute claims of fraud so workers obtain the full compensation they deserve.

Our Nebraska Workers’ Compensation Lawyer Can Defend Against Claims of Fraud

If you have been injured at work, it is important to work with an Omaha workers’ compensation lawyer that can assist with your claim. At Andres Law Offices, PC, LLO, our skilled attorney will prepare your claim so that it is never subject to questions of fraud, and he can also help you defend against those claims if you have already been accused. Call us today at (402) 491-4003 or fill out our online form to schedule a consultation and to learn more about how we can help.