ROBERT L. EHRLICH, JR., Governor

H.B. 837

9-310.2.

(A)     IN ANY ADMINISTRATIVE ACTION BEFORE THE COMMISSION, IF IT IS
ESTABLISHED BY A PREPONDERANCE OF THE EVIDENCE THAT A PERSON
KNOWINGLY AFFECTED OR KNOWINGLY ATTEMPTED TO AFFECT THE PAYMENT OF
COMPENSATION, FEES, OR EXPENSES UNDER THIS TITLE BY MEANS OF A
FRAUDULENT REPRESENTATION, THE COMMISSION SHALL REFER THE CASE ON THE
PERSON TO THE INSURANCE FRAUD DIVISION IN THE MARYLAND INSURANCE
ADMINISTRATION.

(B)     IN ITS ANNUAL REPORT UNDER § 9-312 OF THIS SUBTITLE, THE
COMMISSION SHALL REPORT THE NUMBER OF CASES REFERRED TO THE INSURANCE
FRAUD DIVISION IN THE MARYLAND INSURANCE ADMINISTRATION UNDER THIS
SECTION.

9-1106.

(a)     A person may not knowingly affect or knowingly attempt to affect the
payment of compensation, fees, or expenses under this title by means of a fraudulent
representation.

(b)     A person who violates this section, on conviction:

(1)     is subject to the penalties of § 7-104 of the Criminal Law Article; and

(2)     may not receive compensation, fees, or expenses under this title.

(C) THE COMMISSION SHALL REFER A PERSON THAT VIOLATES SUBSECTION
(A) OF THIS SECTION TO THE INSURANCE FRAUD DIVISION IN THE MARYLAND
INSURANCE ADMINISTRATION.

(D) THE COMMISSION SHALL COMPILE AND ABSTRACT INFORMATION THAT
INCLUDES THE NUMBER AND THE TYPE OF CONFIRMED ACTS OF INSURANCE
FRAUD.

SECTION 2. AND BE IT FURTHER ENACTED, That:

(a)     the Workers' Compensation Commission shall, in consultation with the
Insurance Fraud Division in the Maryland Insurance Administration and in
collaboration with the persons and organizations listed in (b) of this section, study
how to prevent, identify, and deter workers' compensation fraud. As part of the study,
the Commission shall consider:

(1)     workers' compensation fraud committed by employers, employees,
health care providers, and any other person or entity;

(2)     the cost associated with each type of identified fraud; and

(3)     methods of preventing, identifying, and deterring fraud;

(b)     in conducting the study, the Workers' Compensation Commission shall
collaborate with representatives of:

(1) self-insured employers;

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