Coast resident busted for insurance fraud

A 23-year-old Sunshine Coast man has learned the hard way that filing a false insurance claim and police report can be costly.

In 2007, Jesse Germaniuk told police that he chained his 2002 Honda 600 motorcycle to a wooden post in the parking lot of the Pender Harbour Hotel in Madeira Park. He then went out of town for a couple of days and when he returned the motorcycle had been stolen.

Germaniuk subsequently filed a stolen vehicle claim with ICBC and because he carried comprehensive insurance, which includes coverage for stolen vehicles, he was paid out $6,034.He did not carry collision coverage on the motorcycle though, so had he been in a crash, he would not have been compensated for damages to his bike.

In 2010, ICBC received a tip about the claim through its fraud tips line.

ICBC's Special Investigation Unit (SIU) subsequently investigated the claim and determined that the motorcycle was not stolen as Germaniuk claimed.In fact, Germaniuk had crashed his motorcycle into a pole and then salvaged the engine and other parts.ICBC's SIU worked with Sunshine Coast RCMP in a joint investigation that led to the seizureof the Honda engine and other motorcycle parts and accessories from a shed on Germaniuk's property, following the execution of a search warrant.

After pleading guilty to fraud by filing a false claim last June, Germaniuk was fined $2,500, ordered to pay more than $6,000 in restitution to ICBC and another $375 in victim surcharge costs.

"Insurance fraud is not victimless - it is a serious crime that steals hard-earned money from the overwhelming majority of our honest customers," said Steve Tripp, manager of ICBC's special investigation unit. "Our customers don't deserve to be exploited in this way and we will do everything we can to protect them."

Anyone with information regarding suspicious, exaggerated or fraudulent claims is encouraged to call ICBC's fraud tips line at 604-661-6844 or 1-800-661-6844, toll free from anywhere in the province. Tip information is confidential and callers can remain anonymous.