California man burned by razor claims, jailed for insurance fraud

A Palmdale, Calif., man will spend more than 14 years in prison for trying to sue several razor manufacturers over the same injury, collecting $9,500 as a result.

Larry Butler, 40, was convicted of insurance fraud, grand theft and perjury, according to the California Department of Insurance.

The department began an investigation after receiving a complaint from one of the companies sued by Butler. He allegedly filed multiple small claims court actions against manufacturers including Phillips, Proctor & Gamble and Panasonic.

Butler claimed that over a five-month period, the razors caused him to have ingrown hairs, resulting in scarring on his face. To support his claims, the department said, Butler submitted identical photographs of the alleged injury, and the same receipt and price quote for seeing a dermatologist to the companies.

He was able to collect the $9,500 from the companies, who are self-insured, due to the fraudulent claims, the department said.

California Insurance Commissioner Steve Poizner said in a statement “committing insurance fraud to make an extra buck is never a smart idea.”

Follow IFAwebnews: 
Important links and updates throughout the day via Twitter Join IFAwebnews’ Insurance News group on LinkedIn.com Become a fan of IFAwebnewss Insurance News on Facebook Feeds for all the ourinsurance news or just the lines you need. Insurance news delivered to your inbox
© 2009 New Horizon Group, Inc. :: Insurance & Financial Advisor | IFAwebnews.com :: NS 115 queries. 3.439 seconds.
Entries RSS Comments RSS