According to some providers of unemployment compensation services, there has been a rise in fraudulent unemployment claims being filed as a result of identity theft. According to one provider, Michigan’s Unemployment Insurance Agency (UIA) is currently fielding over 10,000 fraudulent claims.
If dealers receive a claim request and the employee is currently employed and working at the dealership, the dealer should confirm whether the employee actually filed for unemployment benefits. If the employee has not filed for benefits, both the dealer and employee should take steps to report the fraudulent filing immediately.
The UIA has set up a separate contact number to be used to report fraudulent claims: 1-855-842-7463.
The employee may also want to look into filing a police report for identity theft and may need to complete certain forms with the UIA to document the fraud. Once the claim is determined to be fraudulent, the dealer should inform their provider of the incident and work with their provider or directly with the UIA to ensure that a protest is filed and the claim is denied.
If you would like additional information, please do not hesitate to contact a member of the Dealer Practice Group at 248-645-9300 or by email:
- Charles A. LeFevre, Chair, [email protected]
- Lawrence F. Raniszeski, [email protected]
- Michael J. O’Shaughnessy, [email protected]
- Eric R. Bowden, [email protected]
- Alycia Pallach Wesley, [email protected]
- Coriann Gastol, [email protected]
