October 31, 2019


Donelon Highlights Success of Insurance Fraud Partnership with Law Enforcement Agencies

Commissioner Jim Donelon commended the work of LDI (Louisiana Department of Insurance) fraud investigators, State Police, Louisiana Department of Justice as well as federal law enforcement that resulted in indictments against five New Orleans area individuals for their role in an insurance fraud scheme centered on staged accidents between private passenger automobiles and large trucks. The indictment, announced by the U.S. Attorney for the Eastern District of Louisiana, Peter Strasser, on October 24 indicates that this investigation is ongoing and could result in further charges.

“I am proud of the LDI’s continuing work to identify and prosecute insurance fraud with our state and federal partners,” said Donelon. “This enforcement action reminds the public of the everyday challenges for commercial trucking companies, school bus operators and non-emergency transportation providers, among others, operating in Louisiana as well as the role our investigative teams play in circumventing fraudulent claims against insurers, who pass those losses on to their policyholders.”

The FBI estimates that the annual cost of insurance fraud impacts U.S. consumers at an average of $700.00 per household in increased premiums, making coverage unaffordable for many.

Commissioner Donelon reminds residents to report all incidents of insurance fraud via the LDI’s fraud hotline at (225) 342-4956 or online at


About the Louisiana Department of Insurance: The Louisiana Department of Insurance works to improve competition in the state’s insurance market while assisting individuals and businesses with the information and resources they need to be informed consumers of insurance. As a regulator, the LDI enforces the laws that provide a fair and stable marketplace and makes certain that insurers comply with the laws in place to protect policyholders. You can contact the LDI by calling 1-800-259-5300 or visiting