Tuesday, 26 March 2019 08:47

GEICO Files Lawsuit Against Auto Glass Shop Suspected of Fraud


To prove it has a zero-tolerance policy regarding insurance fraud, GEICO has filed a federal lawsuit in Arizona against an auto glass repair shop suspected of submitting fraudulent glass repair bills, according to a March 25 press release.


GEICO seeks to recover damages under civil RICO statutes, as well as for unjust enrichment and fraud. GEICO says the Arizona action is also a preview of future lawsuits.


GEICO alleges that its customers’ signatures were forged on invoices submitted by A & E Auto Glass for repairs that were never performed. Specifically, GEICO was billed for repairs associated with recalibration of advanced driver assistance systems using falsified documents. In many instances, such a system was not even available on the specific make and model of the vehicle being repaired. In addition to billing for services that were never provided, the suit alleges that the defendants submitted fabricated documents from Arizona automobile dealerships for reimbursement of glass parts that were never purchased.


“GEICO has a zero-tolerance policy when it comes to insurance fraud,” said Shane Wheeler, assistant vice president of claims in GEICO’s Tucson, AZ, office. “These incidents of fraud hurt consumers because they cause premiums to increase.”


Wheeler went on to say that GEICO has a long history of seeking out individuals willing to commit fraud. GEICO intends to file future lawsuits to continue making every effort to protect its customers and the public from fraudulent glass repair operators.


GEICO filed its case---Government Employees Insurance Company, et al. v. A & E Solheim, LLC, d/b/a A & E Auto Glass, et. al.---in the U.S. District Court for the District of Arizona. GEICO also seeks a declaration that any pending claims are not owed. GEICO is represented by Barry Levy, Rivkin Radler LLP and William Thorpe, Thorpe Shwer P.C.