PRINTER'S NO. 1324
No. 1153 Session of 1989
INTRODUCED BY FOX, BOYES, MORRIS, McCALL, GIGLIOTTI, LEVDANSKY,
TRELLO, D. W. SNYDER, SEMMEL, JOHNSON, DeLUCA, J. TAYLOR,
RITTER, FARGO, LETTERMAN, J. L. WRIGHT, HAGARTY, COY,
LAUGHLIN, NOYE, HERMAN, FLICK, ANGSTADT, HARPER, REBER,
KASUNIC, E. Z. TAYLOR, CIVERA, WOGAN, JOSEPHS, OLASZ,
LANGTRY, WILSON, RAYMOND, THOMAS, LINTON, MRKONIC, MICOZZIE,
SERAFINI, BROUJOS, COLAFELLA, LUCYK, MELIO AND PETRONE,
APRIL 12, 1989
REFERRED TO COMMITTEE ON INSURANCE, APRIL 12, 1989
AN ACT
1 Amending the act of May 17, 1921 (P.L.682, No.284), entitled "An
2 act relating to insurance; amending, revising, and
3 consolidating the law providing for the incorporation of
4 insurance companies, and the regulation, supervision, and
5 protection of home and foreign insurance companies, Lloyds
6 associations, reciprocal and inter-insurance exchanges, and
7 fire insurance rating bureaus, and the regulation and
8 supervision of insurance carried by such companies,
9 associations, and exchanges, including insurance carried by
10 the State Workmen's Insurance Fund; providing penalties; and
11 repealing existing laws," increasing the penalties for fraud
12 in procuring insurance or in collecting claims.
13 The General Assembly of the Commonwealth of Pennsylvania
14 hereby enacts as follows:
15 Section 1. Section 349 of the act of May 17, 1921 (P.L.682,
16 No.284), known as The Insurance Company Law of 1921, is amended
17 to read:
18 Section 349. Fraud in Procuring Insurance or in Collecting
19 Claims.--(a) Any person who is knowingly concerned in, or who,
20 for profit, gain, benefit, favor, or otherwise, makes any false
1 oral statement, misrepresents, substitutes persons or realty or
2 goods, subscribes to or prepares, or helps to prepare, any
3 fraudulent letter, document, application, affidavit, inventory,
4 financial or other statement, or in any method or manner
5 attempts to deceive, for the purpose of obtaining for himself,
6 herself, or others, any of the classes of insurance provided for
7 by this act; and (b) any person knowingly concerned for profit,
8 gain, benefit, favor, or otherwise, in preparing or forwarding
9 any fraudulent application, affidavit, proof of loss, or claim,
10 or attempting to collect or collecting any wholly or partly
11 fraudulent claim or money demand from any insurance company,
12 association, or exchange, lawfully transacting business within
13 this Commonwealth, whether any policy or agreement of insurance
14 was lawfully procured or procured by fraud,---shall be guilty of
15 a misdemeanor, and, upon conviction, shall be sentenced to
16 undergo imprisonment for not more than [one year or less than
17 six months] two years or less than one year, and, in addition,
18 to pay a fine not exceeding [five hundred dollars ($500) or less
19 than one hundred dollars ($100)] twenty-five hundred dollars
20 ($2,500) or less than five hundred dollars ($500). The
21 provisions of this section shall apply whether or not insurance
22 was actually in force and whether or not the offending person or
23 persons received profit, gain, benefit, or favor from the
24 attempt to defraud or from the consummation of the fraud.
25 Section 2. This act shall take effect in 60 days.
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