More than 2,100 people were struck and killed while stranded or working on the roadside between 2019 and 2023, and a new national survey from the AAA Foundation for Traffic Safety finds that significant gaps in driver knowledge of Slow Down, Move Over laws may be contributing to the ongoing toll. The findings carry direct […]
Connecticut Appellate Court Rules GEICO Complaints Against Towing Companies Protected by Litigation Privilege
The Connecticut Appellate Court has affirmed the dismissal of claims brought by four towing and auto repair businesses against Government Employees Insurance Company (GEICO) and two of its employees, ruling that complaints the insurer filed with the state Department of Motor Vehicles concerning nonconsensual towing and storage fees are protected by the litigation privilege. The […]
DOJ Sues California Towing Company for Illegally Auctioning 148 Servicemembers’ Vehicles
The Justice Department filed a lawsuit against S & K Towing, Inc. of San Clemente, Calif., alleging the company violated the Servicemembers Civil Relief Act (SCRA) by illegally auctioning motor vehicles owned by military members without obtaining required court orders. The case is the latest in a string of federal enforcement actions against towing companies […]
Southern California Tow Company Owners Arrested in $5.9 Million Workers’ Compensation Fraud Scheme
Brothers alleged to have underreported payroll by nearly 14 million to lower insurance costs. Brothers Mark Hassan, 46, of Corona Del Mar, and Ahmed Hassan, 35, of Walnut, Calif. were arrested March 11 on multiple felony insurance fraud charges after a California Department of Insurance investigation found the pair allegedly underreported nearly $13.7 million in […]
Florida Announces Arrest of Insurance Agent for Fraudulent Tow Truck Policy Scheme
Florida Chief Financial Officer Blaise Ingoglia announced the arrest of a licensed insurance agent and an unlicensed individual for selling fraudulent commercial insurance policies for tow trucks in Miami-Dade County. Javier Gonzalez Jr., a licensed insurance agent, and Aliba Lamas Alvarez were arrested Feb. 5 by the Department of Financial Services Criminal Investigation Division. Investigators […]
Sedgwick Launches Tow, Storage Fee Negotiation Service for Auto Claims
Sedgwick launched a tow and storage negotiation service designed to reduce costs for insurance carriers handling auto claims. The service uses licensed adjusters to negotiate storage and towing fees with repair facilities. The company said the service reduces charges by an average of 32%. Adjusters access the service through a proprietary technology portal that allows […]
Pennsylvania Tow Truck Operator Ordered to Pay $379,000 Restitution for Insurance Fraud, Theft
Pittsburgh towing company owner pleaded guilty to insurance fraud, theft by deception. Prohibited from working in towing industry. Pennsylvania Attorney General Dave Sunday announced that the owner of a Pittsburgh-based Vince’s Towing has pleaded guilty to felony charges regarding tow costs inflated by charging “accident services” fees and other deceptive practices. An Allegheny County Court […]
Connecticut Supreme Court Reverses Ruling on Towing Equipment Charges in Victory for Vehicle Recovery Services
Hourly charges for specialized equipment used for non-consensual towing allowed by Justices. DMV had argued that charges should be part of hourly labor rates. The Connecticut Supreme Court yesterday reversed a lower court decision that prohibited towing companies from charging for specialized equipment used in “exceptional services,” ruling that wrecker services can recover costs for […]
California Autobody Association Urges Industry to Challenge New Towing Regulations During BAR Meeting
Association calls proposed tear-down and disclosure rules “unnecessary and burdensome” The California Autobody Association (CAA) is mobilizing collision repair shops to oppose new state regulations that would require separate documentation for towing services, calling the rules overly complex and costly for businesses and consumers. The CAA issued a member alert ahead of Thursday’s Bureau of […]
Insurance Association Support Proposed Chicago Towing Ordinance
The American Property Casualty Insurance Association (APCIA), the Illinois Insurance Association (IIA), and the National Insurance Crime Bureau (NICB) support the new towing proposal by Alderman Gilbert Villegas (36th Ward) to combat rogue towing in Chicago. The new proposal builds upon the ordinance that was introduced by Villegas and passed by the Chicago City Council […]
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