CALIFORNIA – The California Department of Insurance (CDI) announced, May 30, that a Los Angeles Police Department (LAPD) reserve officer and his brother were arraigned on felony insurance fraud charges.
CDI said insurance fraud impacts all Californians by driving up costs for consumers and businesses.
Its investigation found Eric Benjamin “Ben” Halem, 37, of Porter Ranch and his brother, Jacob Halem, 32, of Tarzana allegedly filed a fraudulent auto insurance claim in an attempt to obtain benefits they were not entitled to receive.
The total potential loss from the fraudulent claim was $229,283.
Eric Halem falsely claimed his brother crashed his 2020 Bentley
The investigation of the brothers began after a fraud referral revealed Eric Halem falsely claimed his brother Jacob crashed his 2020 Bentley, but it was actually rented out through Halem’s company, Drive LA, and crashed by the renter days earlier.
Los Angeles Sheriff’s Department (LASD) deputies documented the crash and impounded the Bentley. Eric Halem later used proof of insurance to release the car, while the renter’s claim was denied for lack of collision coverage.
After the rental driver’s claim was denied, Eric Halem allegedly filed a fraudulent claim with his insurer, falsely stating his brother Jacob was driving during the crash.
The brothers submitted staged photos of the damaged Bentley, but investigators found the damage matched LASD body cam footage.
Further investigation revealed that Jacob Halem also provided a false statement to the insurance company investigator in an effort to corroborate his brother’s fraudulent claim.