Insurance & Workers’ Compensation Fraud Charges in Oklahoma – Law & Punishments

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Workers’ Compensation Fraud in Oklahoma

Workers’ compensation fraud in Oklahoma includes, but is not limited to, acts committed with the intent to injure, defraud, or deceive others regarding:

1. Claims for payment or benefits under an insurance contract
2. Applications for insurance policies
3. Insurance policy rating or risk assessments
4. Insurance premium payments (regardless of policy issuance)
5. Payments made under an insurance contract
6. Applications for licenses required by the Oklahoma Insurance Code
7. Licenses for health maintenance organizations (HMOs)
8. Approvals, permits, or licenses under the Workers’ Compensation Act
9. The financial condition of an insurer
10. Acquisition of an insurer
11. Insurance contracts or Certifications of Non-Coverage under the Workers’ Compensation Act

Acts Constituting Workers’ Compensation Fraud

A person commits workers’ compensation fraud if they:

1. Submit or assist in submitting false, fraudulent, incomplete, or misleading statements in support of any claim or application.
2. Assist, conspire, or solicit others to submit fraudulent statements.
3. Conceal or attempt to conceal material information related to any claim.
4. Accept or solicit insurance risks for an insolvent insurer.
5. Remove, conceal, or attempt to remove insurer assets or records.
6. Divert funds of an insurer related to an insurance contract or business operations.
7. Accept benefits in exchange for violating fraud regulations.
8. Fail to disclose material changes where disclosure is required.
9. Alter, forge, or counterfeit documents with the intent to deceive or mislead.

Note: Lack of a contractual relationship with the insurer is not a defense against allegations of fraud.

Key Definitions

• Contract of Insurance: Includes workers’ compensation insurance and any other legal means of securing compensation.
• Insurer: Any entity engaged in making insurance contracts.
• Person: Any individual or entity, including those directly responsible for fraudulent actions.
• Statement: Any form of communication (written, oral, electronic) used to support claims, including invoices, receipts, medical records, or legal documents.
• Work: Excludes activities yielding only nominal economic gain.

Penalties for Workers’ Compensation Fraud

Any person convicted of workers’ compensation fraud in Oklahoma is guilty of a felony and may face:

• Up to 7 years of imprisonment in the State Penitentiary
• A fine up to $10,000
• Both imprisonment and a fine

For individuals with prior felony convictions related to workers’ compensation fraud, an additional 2-year sentence enhancement applies for each prior conviction.

Fraudulent Insurance Claims

Any person who presents or supports a false or fraudulent claim under an insurance contract for payment of loss is guilty of a felony punishable by:

• Up to 3 years of imprisonment in the State Penitentiary
• A fine up to twice the amount of the aggregated loss
• Both imprisonment and a fine

This includes making, preparing, or subscribing false documentation (e.g., proof of loss, affidavits, surveys) with intent to deceive an insurer.

Sources: 21 O.S. §§ 1662 & 1663 Current as of March 14, 2025. Laws are subject to change at any time! Visit the cited sources for the most current law.

Charged with workers’ comp or insurance fraud in Oklahoma? Call Oklahoma criminal defense law firm The Urbanic Law firm in OKC or fill out the form below for a free consultation.

Don’t panic! Call Urbanic.® 405-633-3420

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