Mississippi Insurance Commissioner Mike Chaney warned Tuesday that insurance fraud raises costs for consumers and businesses and is not a victimless crime, according to his office.
Chaney told reporters the Mississippi Insurance Department’s Investigations Division handled more than 800 complaints in 2025, with over 400 deemed fraud-related. The department recovered more than $1.1 million for consumers following those investigations, the department said.
Chaney outlined common schemes his office encounters, including scammers offering fake policies at unusually low prices, legitimate companies selling non-insurance products marketed as insurance, and dishonest agents who keep premium payments instead of forwarding them to insurers, leaving consumers without coverage. He also warned of dishonest contractors who often appear after disasters and urged victims to contact their insurers promptly to file claims.
The Coalition Against Insurance Fraud reported that three of four insurance companies believe fraud is growing and estimated $308.6 billion is stolen each year. The National Association of Insurance Commissioners recommends that consumers be alert for red flags, verify an agent or company is licensed, avoid signing paperwork or paying premiums if they have doubts, and contact state regulators with concerns.
Chaney encouraged consumers to check contractors online, review complaints with the Better Business Bureau or the state attorney general, and confirm licensure with the state Board of Contractors. He asked anyone who suspects fraud to call the Mississippi Insurance Department at 601-359-3569 or file a complaint online at www.mid.ms.gov.
Jon Ross Myers is the executive editor and publisher of the Mississippi News Network, Mississippi's largest digital only media company. He can be reached at editor@tippahnews.com
