Allstate Files $1M Insurance Fraud Case in NY

Allstate Insurance ALL is seeking to recover more than $1 million against 10 New York area defendants in its third insurance fraud lawsuit of 2011. The complaint, filed under the Racketeer Influenced and Corrupt Organizations Act and New York common law, alleges that four professional service corporations, a licensed psychologist and five laypersons illegally owned and controlled the professional corporations. Since 2003, Allstate has filed 30 fraud lawsuits in New York, seeking nearly $169 million in damages.