HB 2205
Initials Page 1 Commerce
ARIZONA HOUSE OF REPRESENTATIVES
Fifty-sixth Legislature
Second Regular Session
HB 2205: fraud unit; investigations; annual report
Sponsor: Representative Livingston, LD 28
Committee on Commerce
Overview
Directs the Department of Insurance and Financial Institutions' (DIFI) fraud unit to submit
an annual report relating to fraudulent practices and exempts monies appropriated to the
fraud unit from lapsing.
History
DIFI's fraud unit investigates acts or practices of fraud including determining if fraud, deceit
or intentional misrepresentation exists in the submission of an insurance claim. DIFI
annually levies an assessment of up to $1,050 on all licensed insurers for the administration
and operation of the fraud unit and the prosecution of insurance fraud. Assessment monies
are deposited into the state General Fund to be appropriated to the fraud unit exclusively for
the fraud unit's operation (A.R.S. § 20-466).
Provisions
1. Directs the fraud unit, on or before March 1 of each year, to prepare a report that provides
all of the following with respect to the previous year:
a) the number of referrals of potential fraud received from the fraud unit;
b) the number of civil and criminal cases filed against suspected perpetrators of fraud;
c) a summary of criminal prosecutions related to fraud; and
d) the total amount of monies recovered for victims of fraud. (Sec 1)
2. Specifies the fraud unit must submit the report to the Governor and Legislature and send
a copy to the Secretary of State. (Sec. 1)
3. Exempts monies that are appropriated to the fraud unit from lapsing. (Sec 1)
☐ Prop 105 (45 votes) ☐ Prop 108 (40 votes) ☐ Emergency (40 votes) ☐ Fiscal Note