According to a story in the Insurance Journal, a Florida businessman has been arrested on two counts of workers’ compensation insurance fraud and other charges related to selling his insurance certificate to other employees. If convicted, the man could face up to 30 years in prison. The allegations stem from an investigation conducted by the Florida Department of Financial Services’ Bureau of Insurance Fraud after it received a tip that a company may be engaging in illegal activity. The investigation revealed that Leon “Chuy” Jimenez was operating a construction company for the purpose of conducting fraudulent financial scams. It is alleged that Jimenez’s company did not conduct any significant business operations even though he reported having 50 employees who performed construction services throughout central Florida. The investigation uncovered more than $2 million in payroll that had been cashed by 140 employees in a year. Further investigations uncovered a scam whereby Jimenez would sell the construction company’s workers’ comp certificate to other employers. The act put many employees in jeopardy if they had been hurt while on the job. In addition, the scam cost the workers’ comp insurance carrier thousands of dollars in unpaid premiums.
Companies Required to Carry Workers’ Comp Insurance
Employers in Florida are required to cover their employees with workers’ comp insurance to protect the employees in the event of an on-the-job accident. Employers must provide proof of their insurance coverage, which is generally the certificate provided to them by their insurance carriers. By selling his insurance certificate, Jimenez was allowing other employers to claim they were covered by Florida’s workers’ comp system when they were not. If an employee had been injured at work, he or she may have incurred costly medical bills and other damages that would not have been covered by an insurance carrier. The purpose of workers’ comp in Florida is to ensure that employees injured at work receive the medical care and other benefits when they are hurt on the job. The system is designed to provide medical care and financial assistance to injured workers without the necessity of proving fault on the part of the employer. For employers, the system protects them from being sued by employees for injuries and illnesses sustained in the normal course of business.
Have You Been Injured at Work?
If you have been injured at work, you have rights. Unfortunately, the system does not always work as it should. Employees are denied the medical care and other benefits they are entitled to receive under Florida’s workers’ comp laws. For this reason, you may need an experienced Boca Raton workers’ comp attorney to represent you in your workers’ comp claim. You have the right to hire an attorney and be represented by counsel during the workers’ comp process. The Broderick Law Firm, P.L. can help you obtain the benefits you deserve. Contact our office today 1-800-333-3903 to speak with an attorney. We represent individuals in West Palm Beach, Boca Raton, Fort Lauderdale & Miami, FL.