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TDI’s efforts result in more than $50 million for fraud victims
Plain English Summary
The Texas Department of Insurance (TDI) has recovered over $50 million for victims of insurance fraud in the past year. This effort involved more than 20 investigators who worked on 314 fraud cases, leading to court actions against fraudsters, including prison sentences and fines. One notable case involved a former insurance agent who sold fake policies and stole over $318,000 from clients.
Insurance agents should be vigilant and report any suspected fraud they encounter. You can report fraud online or by calling TDI’s Help Line at 800-252-3439.
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The Texas Department of Insurance (TDI) Fraud Unit contributed to insurance fraud investigations landing $50.9 million in court-ordered restitution in fiscal year 2025.
More than 20 TDI investigators working across the state looked into 314 cases of insurance fraud. After digging into financials and interviewing suspects and victims, the investigators passed their cases to TDI attorneys for prosecution. Courts often punished the fraudsters with prison time, fines, and restitution they were ordered to pay back their victims.
One investigation landed prison time, a $10,000 fine, and court-ordered restitution for former Houston insurance agent Mark Davis Lunsford. Lunsford sold fake insurance policies and stole over $318,000 in premiums from clients.
“Restitution is just one way to repair the financial harm of insurance fraud,“ said Chris Davis, who leads TDI’s Fraud Unit.
You can
report suspected insurance fraud online
or by calling TDI’s Help Line at 800-252-3439.
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