In the fall of 2010, amendments to the New Jersey Insurance Fraud Prevention Act were implemented, separating the criminal and civil divisions of the Office of the Insurance Fraud Prosecutor (OIFP). The Bureau of Fraud Deterrence (Fraud Bureau) was created with the New Jersey Department of Banking and Insurance (DOBI) (N.J.S.A. 17:33A-8). The criminal division of OIFP remained with the attorney general in the Division of Criminal Justice (N.J.S.A. 17:33A-16).
According to DOBI, the reorganization was designed to strengthen the state’s ability to confront and deter civil insurance fraud. In addition, DOBI emphasized that the new Fraud Bureau would make a focused effort to investigate suspicious claims arising from medical providers treating auto accident victims receiving personal injury protection (PIP) benefits.
