US Lawmakers Propose Bill Making Staged Collisions Federal Crime

U.S. Congressmen Garret Graves and Henry Cuellar have introduced a bill that would make it a federal crime to stage a vehicle collision and fraudulently claim financial damages.

Graves (R-LA) and Cuellar (D-TX) say the legislation, the Highway Accident Fairness Act of 2021, would improve the safety of truckers and drivers on highways and protect trucking companies from the financial burdens of defending against or settling fraudulent insurance claims resulting from staged collisions.

According to a statement from Cuellar’s office, the bill would:

• Assure fair and prompt recoveries for highway accident victims with legitimate claims
• Provide for Federal court consideration of interstate cases of national importance under diversity jurisdiction
• Maintain stability in the movement of interstate commerce and protect the public from the safety hazard of staged collisions
• Protect motor carriers and insurers from the financial burdens of defending against, settling or being found liable for fraudulent claims that result from staged collisions
• Protect law enforcement agencies from expending resources dealing with the aftermath of staged collisions

The legislation is backed by the American Trucking Association.

Graves says the bill would lower auto insurance rates for Louisiana drivers. Graves cited a 2015 staged accident in New Orleans that resulted in a $4.7 million settlement against a trucking company.

“Louisiana drivers pay some of the highest insurance rates in America,” Graves said. “This is unacceptable and the solutions don’t require rocket science. Our bill will prevent criminal rings from further increasing the cost to drive and do business in Louisiana.”

Topics USA Fraud Legislation