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An article in the Wall Street Journal cites a study, conducted by the Insurance Research Council, that alleges widespread fraud in auto collisions in New York. The fraud allegations seem to focus primarily on the fact that New York City residents are more likely than upstate residents to visit acupuncturists or chiropractors after a collision. I can't argue there is no fraud involved, but I'm not sure the choice of medical treatment is a valid basis for making that determination. Here is one quote from the article:

Insurers hope the insurance department?s changes make it easier for them to deny fraudulent claims, but consumer advocates worry legitimate expenses will be more likely to be turned down as well. J. Robert Hunter, the director of insurance for the Consumer Federation of America, said regulators must remember that insurers have been caught cheating their customers as well.

?You have to fight the fraud,? he said. ?But that goes both ways.?