WOODLAND HILLS, Calif. -- Zenith National Insurance Corp. announced today that its wholly owned subsidiary, Zenith Insurance Company began serving summons and complaints today upon a Santa Ana medical clinic, its owner and manager, accusing them of taking part in a large-scale scheme designed to defraud the company's policyholders. Zenith becomes the first workers' compensation insurance company in the state to sue under a statute that the California Legislature passed specifically to help combat workers' compensation fraud.
The lawsuit, filed in the Orange County Superior Court and which first became public today, details how these unscrupulous individuals in the medical profession have engaged in fraud, ranging from charging for services that were never rendered, to various fraudulent billing practices.
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