SACRAMENTO—The California Employment Development Department (EDD) detected and is quickly taking action to halt a recent move by organized criminal elements to file false disability insurance claims.
The new disability insurance identity theft scam involved suspected organized criminal elements filing false disability insurance claims by attempting to use stolen credentials of claimants and medical or health providers. Medical and health providers certify the existence of a disability that an applicant reports when seeking disability insurance benefits from EDD. Evidence of the scam included a recent increase in new online medical or health provider account EDD registrations and a rise in disability insurance claims. READ MORE